The following data pertain to Kool CorporationOrdinary Share Capital, with par value of P2520,000 shares were issued of which 6,000 shares were in treasuryShare Premium - OSP500,000.00100,000.00Retained EarningsTreasury shares at costThe following transactions took place on August 2021200,000.00(180,000.00)8 2,000 treasury shares were sold at P35pershare25 1,400 treasury shares were sold at P20Compute1.Outstanding number of ordinary sharesTotal Contributed CapitalRetained earnings - unappropriatedTotal Shareholders' equity

A company may urge to reduce the outstanding stock in the market and repurchase the previously…

The following data pertain to Kool Corporation Ordinary Share Capital, with par value of P25 20,000 shares were issued of which 6,000 shares were in treasury Share Premium - OS P500,000.00 100,000.00 200,000.00 (180,000.00) Retained Earnings Treasury shares at cost The following transactions took place on August 2021 82,000 treasury shares were sold at P35 per share 25 1,400 treasury shares were sold at P20 Compute: Outstanding number of ordinary shares

The following data pertain to Kool Corporation Ordinary Share Capital, with par value of P25 20,000 shares were issued of which 6,000 shares were in treasury Share Premium - OS P500,000.00 100,000.00 200,000.00 (180,000.00) Retained Earnings Treasury shares at cost The following transactions took place on August 2021 82,000 treasury shares were sold at P35 per share 25 1,400 treasury shares were sold at P20 Compute: Outstanding number of ordinary shares

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Prepare journal entries to record the transactions.

A: Treasury stock indicates the shares of the company bought back which in result decreases the…

Q: Each share of preference is convertible into 1 ordinary share. In June, ABC converted 4,000 of…

A: The stockholders’ equity for ABC Company on December 31 was: Preference share, P20 par, 60,000…

Q: On December 31, 2021, the statement of financial position of FRUITS Company showed the following…

A: In accounting, the value of an asset as it appears on a balance sheet and a measurement of a…

Q: On 5 March 20X7, Marchant Ltd issued 200,000 5% irredeemable GHS 1 preference shares. In…

A: As per IAS 32 Financial Instruments, When preference shares are non-redeemable, the appropriate…

Q: Share Issuances for Cash and Non-Cash Considerations On Jan. 1, 2018, the followingaccounts and…

A: Shareholder’s equity is reported in the statement of financial position containing information about…

Q: At December 31, the Shareholders’ Equity section shows: Ordinary Share, P 5 par, value 1,320,000…

A: Shareholders’ equity can be defined as the amount invested by the owner in the company. It includes…

Q: The following information is available for Baton Corporation: January 1, 2021 Shares outstanding…

A: Basic earnings per share = (Net income - Preferred dividend) / Weighted average no. of common shares…

Q: The following information is available for Bunny Corporation: January 1, 2021 Shares outstanding…

A: Basic earnings per share = (Net income - Preferred dividend) / Weighted average no. of common shares…

Q: Ordinary share capital, par P10, authorised 1,000,000 shares, issued 300,000 3,000,000 Share Premium…

A: Stock dividend is non cash dividend issued to stockholders that increases share capital of the…

Q: Current Attempt in Progress Sandhill SA's ledger shows the following balances on December 31, 2022.…

A: Case a) Preference shares are cumulative & fully participatingCumulative preference shares are…

Q: An abstract of the shareholders' equity of the Camia Co. on December 31,200A appears as follows:…

A: Camia Corporation…

Q: MAKE T-ACCOUNT for the following: Ordinary shares Preference shares Share…

A: Stockholder's Equity - Stockholder's Equity includes the amount contributed by shareholders issued…

Concept explainers

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.

Question

The following data pertain to Kool Corporation
Ordinary Share Capital, with par value of P25
20,000 shares were issued of which 6,000 shares were in treasury
Share Premium - OS
P500,000.00
100,000.00
Retained Earnings
Treasury shares at cost
The following transactions took place on August 2021
200,000.00
(180,000.00)
8 2,000 treasury shares were sold at P35
per
share
25 1,400 treasury shares were sold at P20
Compute
1.
Outstanding number of ordinary shares
Total Contributed Capital
Retained earnings - unappropriated
Total Shareholders' equity

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

The following figures have been extracted from the financial statements of KND Ltd: Book Value of Current Assets $45 million and Current Liabilities $34.75 million 11% Debentures: $27 million debentures issued at $1,000. Long-term Loan: $7.18 million Preference Share Capital: 8.8 million shares issued at $2 per share Retained Earnings: $28.30 million Ordinary Share Capital: 39 million shares issued at $1 per share General Reserves $9.20 million The following additional information has been provided by the manager of the company: Government bonds are currently yielding 6.3% per annum. The current market return on equity is estimated to be 13.5% per annum. Debenture coupons are paid annually, with 16 years to maturity. The company tax rate is 34%. The loan requires a 9% p.a. interest payment, compounded monthly. A merchant banker suggests that KND Ltd would have to offer a rate of 13.9% p.a. on any new issue of 16-year debentures. 12% Preference shares of KND Ltd are currently…
Answer in a memorandum entry
Before Riverbed Ltd. engages in the treasury share transactions listed below, its general ledger reflects, among others, the following account balances (par value is £30 per share). Share Premium-Ordinary Share Capital-Ordinary £91,700 £269,400 Retained Earnings (a) Bought 390 treasury shares at £39 per share. (b) Bought 300 treasury shares at £45 per share. (c) Sold 350 treasury shares at £41 per share. (d) Sold 100 treasury shares at £37 per share. £81,900 Record the treasury share transactions (given below) under the cost method of handling treasury shares; use the FIFO method for purchase-sale purposes. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
On June 30, 2020, when ABC shares were selling for $ 65 each, the equity accounts had the following balances: Common shares (par value $ 50: 50,000 issued) $ 2,500,000 Capital contributed in excess of par value 600,000 Retained earnings 4,200,000 A 100% share dividend is declared and distributed, the balance of the Common Shares account after recording the dividend will be: a. $2,500,000 b. $7,300,000 c. $3,100,000 d. $5,000,000