Villarama Corporation was organized on Jan. 1, 2018. It is authorized to issue shares of 6%, P50 par value preference shares, and 50,000 shares of no-par c shares with a stated value of P10 per share. The following stock transaction completed during the year: Jan. 10 Issued 10,000 ordinary shares for cash at P35 per share. Mar. 1 Issued 10,000 preference shares for cash at P55 per share. Issued 2,500 ordinary shares for land. The asking price of th land was P90,000; the fair market value of the land was P85,000 Apr. 1 May 1 Issued 7,500 ordinary shares for cash at P40 per share. Issued 1,000 ordinary shares to lawyers in payment of their E for P50,000 pertaining to services rendered in helping th corporation organize. Aug. 1 Sep. 1 Issued 500 ordinary shares for cash at P60 per share. Nov. 1 Issued 2,000 preference shares for cash at P53 per share. Required: 1. Journalize the transactions. 2. Post to the shareholders' equity accounts. 3. Prepare the share capital section of the shareholders' equity as at Dec. 31, 2
Villarama Corporation was organized on Jan. 1, 2018. It is authorized to issue shares of 6%, P50 par value preference shares, and 50,000 shares of no-par c shares with a stated value of P10 per share. The following stock transaction completed during the year: Jan. 10 Issued 10,000 ordinary shares for cash at P35 per share. Mar. 1 Issued 10,000 preference shares for cash at P55 per share. Issued 2,500 ordinary shares for land. The asking price of th land was P90,000; the fair market value of the land was P85,000 Apr. 1 May 1 Issued 7,500 ordinary shares for cash at P40 per share. Issued 1,000 ordinary shares to lawyers in payment of their E for P50,000 pertaining to services rendered in helping th corporation organize. Aug. 1 Sep. 1 Issued 500 ordinary shares for cash at P60 per share. Nov. 1 Issued 2,000 preference shares for cash at P53 per share. Required: 1. Journalize the transactions. 2. Post to the shareholders' equity accounts. 3. Prepare the share capital section of the shareholders' equity as at Dec. 31, 2
Chapter1: Financial Statements And Business Decisions
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