The shareholder' equity of M Corp on Dec 31, 2021 follows: 10% Preference share capital P100 par, 45,000 shares P4,500,000 Ordinary share capital, P20 par, 180,000 shares P3,600,000 Preference share premium Ordinary share premium P1,000,000 P900,000
The shareholder' equity of M Corp on Dec 31, 2021 follows: 10% Preference share capital P100 par, 45,000 shares P4,500,000 Ordinary share capital, P20 par, 180,000 shares P3,600,000 Preference share premium Ordinary share premium P1,000,000 P900,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![The shareholder' equity of M Corp on Dec 31, 2021 follows:
10% Preference share capital P100 par, 45,000 shares P4,500,000
Ordinary share capital, P20 par, 180,000 shares P3,600,000
Preference share premium
P1,000,000
Ordinary share premium
Retained Earnings P5,480,000
Total shareholder's equity P15,480,000
P900,000
Preference share are non-cumulative with dividends in arrears for 2 years with a liquidation
value of P110. On December 31, 2021, a cash dividend of P500,000 was declared.
What is the book value per share of ordinary share capital?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fed0c7d53-ecab-4dc4-828c-b5482b602dae%2F258f2f4f-db7c-42dc-8b92-68da3a19977d%2Fabrr6l2_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The shareholder' equity of M Corp on Dec 31, 2021 follows:
10% Preference share capital P100 par, 45,000 shares P4,500,000
Ordinary share capital, P20 par, 180,000 shares P3,600,000
Preference share premium
P1,000,000
Ordinary share premium
Retained Earnings P5,480,000
Total shareholder's equity P15,480,000
P900,000
Preference share are non-cumulative with dividends in arrears for 2 years with a liquidation
value of P110. On December 31, 2021, a cash dividend of P500,000 was declared.
What is the book value per share of ordinary share capital?
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