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What amount should be credited to Share Premium?

What amount should be credited to Share Premium?

FINANCIAL ACCOUNTING
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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The December 31, 2020 condensed Statement of Financial Position of ALL STAR Entertainment Services, a sole proprietorship of RATTLETRAP follows: Current Assets P 1400,000 Property, Plant and Equipment -net 1300.000 P 2200 000 Liabilities P. 700,000 RATTLETRAP. Capital 2.000 000 2.700 000 On January 15, 2020, ALL STAR Entertainment Services was incorporated with 10,000 shares of P100 par value common shares issued. Prior to incorporation, Mr. RATTLETRAP had determined the following fair market values Current Assets P 1,600,000 Property. Plant and Equipment 2,100,000 Liabilities 700,000 What amount should be credited to Share Premium? P.
Transcribed Image Text:The December 31, 2020 condensed Statement of Financial Position of ALL STAR Entertainment Services, a sole proprietorship of RATTLETRAP follows: Current Assets P 1400,000 Property, Plant and Equipment -net 1300.000 P 2200 000 Liabilities P. 700,000 RATTLETRAP. Capital 2.000 000 2.700 000 On January 15, 2020, ALL STAR Entertainment Services was incorporated with 10,000 shares of P100 par value common shares issued. Prior to incorporation, Mr. RATTLETRAP had determined the following fair market values Current Assets P 1,600,000 Property. Plant and Equipment 2,100,000 Liabilities 700,000 What amount should be credited to Share Premium? P.
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