TRUE OR FALSE Fairy Company issued 2,500 ordinary shares with par value of P10 per share for land. The asking price of the land was P90,000 and the fair market value of the land was P85,000. The entry to record the transaction is to debit land for 85,000 and credit ordinary shares 85,000.

TRUE OR FALSE Fairy Company issued 2,500 ordinary shares with par value of P10 per share for land. The asking price of the land was P90,000 and the fair market value of the land was P85,000. The entry to record the transaction is to debit land for 85,000 and credit ordinary shares 85,000.

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

TRUE OR FALSE

Fairy Company issued 2,500 ordinary shares with par value of P10 per share for land. The asking price of the land was P90,000 and the fair market value of the land was P85,000. The entry to record the transaction is to debit land for 85,000 and credit ordinary shares 85,000.

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