The DWMR Corporation was incorporated on March 1, 2021 with the followiee authorized share capital: Ordinary share, no-par, 20,000 shares Preference share, P100 par, 5,000 shares During the month, the following selected transactions took place: Mar. 1 1,000 preference shares were subscribed at P100 per share. The subscribers paid 30% of their subscriptions. 4 Issued 10,000 ordinary shares in exchange for the following: Cash P25,000 Building valued at 6 Stock certificate for 30 preference shares was issued to the lawyer in payment for P3,000 legal work. 21 The preference subscribers paid their subscriptions in full, certificates were issued. 30 2,000 ordinary shares were sold for cash at P120 per share. 80,000 equirement:

The DWMR Corporation was incorporated on March 1, 2021 with the followiee authorized share capital: Ordinary share, no-par, 20,000 shares Preference share, P100 par, 5,000 shares During the month, the following selected transactions took place: Mar. 1 1,000 preference shares were subscribed at P100 per share. The subscribers paid 30% of their subscriptions. 4 Issued 10,000 ordinary shares in exchange for the following: Cash P25,000 Building valued at 6 Stock certificate for 30 preference shares was issued to the lawyer in payment for P3,000 legal work. 21 The preference subscribers paid their subscriptions in full, certificates were issued. 30 2,000 ordinary shares were sold for cash at P120 per share. 80,000 equirement:

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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es at P20 par value. The following are the corporation's capital stock nuary 5, 2021, MMC Corporation was authorized to issue 100,000 ordinary ournal entry method Sactions: lan. 5 Five incorporators subscribed 25,000 shares each at par, paying 25% down payment. 6 Received 10,000 shares subscriptions at par. 8 Issued 2,000 shares at P21 per share for cash. 13 Collected in full the subscriptions in 6th. 14 Received a piece of land in exchange of 30,000 shares issued. The fair value of the land is P650,000. 15 Issued 100 shares to the lawyer in payment for his legal work valued at P2,000. 17 Collected one-half of the balance of the incorporators' subscriptions. 20 Subscriptions for 1,000 shares at par was received, 10% downpayment paid. 25 Collected in full the incorporators' subscriptions. 31 Collected 25% of the subscription balance on the 20th. birement: te the foregoing transactions including issuance of certificates using: Memorandum method 315
BFAR Corp. was authorized to issue 300,000 P7 par value ordinary shares. It received subscriptions for 68,000 ordinary shares at P9 per share and collected half of this subscription. How much is the balance of the Subscribed Share Capital account?
1. A company received 3,000, P10 par ordinary shares from one of its shareholders. In the same year the company reissued the shares at P15 per share. If the fair value of the shares was P13 at the date of donation, what amount was credited to the donated capital account when the shares were reissued? 2. In 2021, a company issued 6% bonds with a maturity value of P40,000, together with 1,000 shares of its P10 par value ordinary share, for a combined cash amount of P150,000. The market value of a company’s share on that date cannot be ascertained. If the bonds were issued separately, they would have been sold for P35,000 on an 8% yield to maturity basis. Determine the increase in share premium as a result of this transaction.3. In 2021, a company issued 1,000,000 no-par value ordinary shares for P1.15 per share. The stated value of the shares is P1. Also, during the year, some potential shareholders of the company subscribed for 800,000 of the same ordinary shares for P1.20 per share…
Score On January 5, 2021, MMC Corporation was authorized to issue 100,000 ordinary shares at P20 par value. The following are the corporation's capital stock transactions: Jan. 5 Five incorporators subscribed 25,000 shares each at par, paying 25% down payment. 6 Received 10,000 shares subscriptions at par. 8 Issued 2,000 shares at P21 per share for cash. 13 Collected in full the subscriptions in 6th. 14 Received a piece of land in exchange of 30,000 shares issued. The fair value of the land is P650,000. 15 Issued 100 shares to the lawyer in payment for his legal work valued at P2,000. 17 Collected one-half of the balance of the incorporators' subscriptions. 20 Subscriptions for 1,000 shares at par was received, 10% downpayment paid. 25 Collected in full the incorporators' subscriptions. 31 Collected 25% of the subscription balance on the 20th. Requirement: Journalize the foregoing transactions including issuance of certificates using: 1. Memorandum method 2. Journal entry method
ABC Corporation was organized on Feb 01, 2021. The corporation was authorized to issue 40,000 shares of 8% preference shares, P130 par value, and 150,000 shares of ordinary shares, P70 par value. Transactions for the year were as follows: Mar 31 - Sold 45,000 shares of ordinary shares at P85 for cash Apr 30 - Issued 5,000 shares of ordinary shares in exchange for an equipment with a fair market value of P400,000 May 21 - 18,000 shares of ordinary shares were subscribed at P85 and a 60% payment were received. How much is the legal capital at the end of the year 2021?
What is the balance of the share capital as of year-end?
Below are the accounts shown in the December 31, 2020 trial balance of ABC Corporation: Preference shares, P50 par, 100,000 authorized, 40,000 shares issued Ordinary shares, P100 par, 200,000 authorized, 50,000 shares issued Subscribed preference share, 20,000 shares Subscribed ordinary shares, 20,000 shares Subscription receivable, preference due March 31, 2021, P180,000 Subscription receivable, ordinary due June 1, 2021, P260,000 Treasury stock, preference, 10,000 shares reacquired at P86 Share premium – Ordinary shares, P1,500,000 Share premium – Preference shares, P2,100,000 Share premium from Treasury, P400,000 Donated Capital, P600,000 Ordinary share warrants outstanding, P300,000 Ordinary share options outstanding, P200,000 Accumulated Profits, P3,100,000 Revaluation Surplus, P1,500,000 Reserve for plant expansion, P1,200,000 Unrealized Gain on financial asset at FMV through OCI/L, P200,000 How much is the total contributed capital of ABC Corporation? Group of answer choices…
Item Nos. 12 and 13 are based on the following information:ddet01oM mat Bravo Company was organized at the beginning of this year with dones authorized capital of 100,000 ordinary shares with a par value of P 200 per hatini share. During the year, Bravo had the following transactions affecting the shareholders' equity: 01 Fon Jan. 10 Issued 25,000 shares at P 220 per share. .000 Mar. 25 Issued 1,000 shares for legal services when the fair value was P 240 per share. dw.or Sep. 30 Issued 5,000 shares for a tract of land when the fair value was P 260 per share.
On April 1, 2019, Kelly Corporation began operations and authorized 100,000 shares of $5 par value common stock. The company engaged in the following transactions:April 1 Issued 20,000 shares of common stock for $200,000.April 15 Issued 10,000 shares of common stock for $125,000.May 12 Purchased 2,500 shares of common stock for $75,000.June 30 The board of directors declared a $0.20 per share cash dividend to be paid on July 15 to shareholders of record on July 51. Prepare journal entries for the above transactions.2. Prepared the stockholders’ equity section of Kelly Corporation’s balance sheet as of June 30, 2019. Net income for the period April 1 through June 30 was $150,000.3. What effect, if any, will the cash dividend declaration on June 30 have on Kelly Corporation’s net income, retained earnings, and cash flows?
IFA Corporations had Net Income of $780,000 and the following information for January 2021 to December 2021.Ordinary shares issued and outstanding:Jan 1 500,000 sharesMarch 1 300,000 shares.June 1 A 10% share dividendAugust 1 120,000 shares.October 1 700,000 shares.December 1 A 2 for 1 share splitOn January 1, 10% convertible debentures, $60,000,000 face value, were issued at par. Each $1,000 debenture is convertible into 40 ordinary shares. The interest expense for the current year related to the liability component of the convertible debentures is $6,500,000.250,000 preference shares outstanding, $60 par, 10% cumulative, not convertible.Options were granted to purchase 400,000 ordinary shares at $18 each. The company’s average market price of ordinary shares was $24.10-year $3,000,000 face value, 8% bonds issued at par on May 1. Each $500 bond is convertible into 30 ordinary shares. The interest expense on the liability component of convertible bonds for the year was $360,000The tax…