The following share dividends were declared and distributed by Wendy Corp.:Percentage of ordinaryshare outstanding atdeclaration date10Fair value Par valueP15,00040,000P10,00030,80028What aggregate amount should be debited to retained earnings for these sharedividends?

Amount debited to retained earnings for share dividend = Total Fair market value of Shares issued

The following share dividends were declared and distributed by Wendy Corp.: Percentage of ordinary share outstanding at declaration date Fair value Par value P10,000 30,800 10 P15,000 40,000 28 What aggregate amount should be debited to retained earnings for these share dividends?

The following share dividends were declared and distributed by Wendy Corp.: Percentage of ordinary share outstanding at declaration date Fair value Par value P10,000 30,800 10 P15,000 40,000 28 What aggregate amount should be debited to retained earnings for these share dividends?

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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Question

The following share dividends were declared and distributed by Wendy Corp.:
Percentage of ordinary
share outstanding at
declaration date
10
Fair value Par value
P15,000
40,000
P10,000
30,800
28
What aggregate amount should be debited to retained earnings for these share
dividends?

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