EXERCISLMultiple Choice. Encircle the letter of the corresponding correct answer. Refer to the problem below.The Board of Directors of Merck Ferries Incorporated at their meeting on May 19, 2020 declared a P10 cashdividend payable on September 17, 2020 to shareholders on record an July 13, 2020. The number of shares issued andoutstanding were 5,000 shares with par value of P100 per share.1. How much amount of cash dividend should be declared?P40.000b.a.P45,000P50,000d. None of theseC.2. When Merck declared dividends, the first journal entry would be recorded on?May 19, 2020b.a.July 31, 2020September 17, 2020d.C.December 31, 20203.On what date will there be no journal entry to be made?a.May 19, 2020bJuly 31, 2020C. September 17, 2020d. None of theseThe final journal entry with regard to Merck's dividend declaration for 2020 will be made on?4.May 19, 2020b.a.July 31, 2020September 17, 2020d.C.December 31, 20205.What is the entry to record the declaration of cash dividend on May 19, 2020?Accumulated Profits and LossesCash Dividend Payablea.P45,000P45,000b.Cash Dividend PayableP50,000Accumulated Profits and LossesP50,000C. Accumulated Profits and LossesCash Dividend PayableP50,000P50,000d. None of these6. What should be done on July 31, 2020?a. Prepare a list of shareholders of recordb.Prepare adjusting entriesPrepare a statement of financial position for the corporationd.C.None of these7. What is the entry to record the payment of cash dividend on September 17, 2020?Cash Dividends PayableCasha.P45,000P45,000b. Cash Dividends PayableP50,000CashP50,000Accumulated Profits and LossesCashC.P50,000P50,000d. None of these8. How much is the cash dividend per share?P5.00a.P10.00b.P15.00None of theseC.d.9. If Julius Anding owns 1,000 shares, how much cash dividend will he receive?a. P5,000P10,000C. P15,000d. None of these10. If Elizabeth Santos owns 1,500 shares, how much cash dividend will she receive?P7,500P15,000a.b.P22,500None of thesed.Ai SHOT ON OPPO

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The Board of Directors of Merck Femies Incorporated at their meeting on May 19, 2020 declared a P10 cash dividend payable on September 17, 2020 to shareholders on record on July 13, 2020. The number of shares issued and outstanding were 5,000 shares with par value of P100 per share 1. How much amount of cash dividend should be declared? a. P40,000 b. P45,000 C. P50,000 d. None of these 2. When Merck declared dividends, the first journal entry would be recorded on? a. May 19, 2020 b. July 31, 2020 c. September 17, 2020 d. December 31, 2020 3. On what date will there be no journal entry to be made? a. May 19, 2020 b. July 31, 2020 C. September 17, 2020 d. None of these

The Board of Directors of Merck Femies Incorporated at their meeting on May 19, 2020 declared a P10 cash dividend payable on September 17, 2020 to shareholders on record on July 13, 2020. The number of shares issued and outstanding were 5,000 shares with par value of P100 per share 1. How much amount of cash dividend should be declared? a. P40,000 b. P45,000 C. P50,000 d. None of these 2. When Merck declared dividends, the first journal entry would be recorded on? a. May 19, 2020 b. July 31, 2020 c. September 17, 2020 d. December 31, 2020 3. On what date will there be no journal entry to be made? a. May 19, 2020 b. July 31, 2020 C. September 17, 2020 d. None of these

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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