What is the correct balance of ordinary share capital on December 31, 2021 You have been assigned to audit RUDOLPH Company. You are asked to summarize thetransactions for the year ended December 31, 2021 affecting shareholders' equity and otherrelated accounts. The Shareholders' Equity section of RUDOLPH's December 31, 2020 Statementof Financial Position had the following balances:Ordinary share capital, 2 par value, 1,000,000 shares authorized,180,000 shares issued, 177,580 shares outstanding360,000Share premium - issuance3,640,00045,000Share premium - treasury sharesRetained earnings649,378Cost of 2,420 treasury shares(145,200)Total shareholders' equity.P4,549,178You have extracted the following information from the accounting records and audit workingpapers:2021Jan. 11 - RUDOLPH issued 1,300 treasury shares for $40 per share.• Apr. 1 - Sold 180, P1,000 9% bonds due April 2031 at 103 with one detachable warrantattached to each bond. Interest is payable annually on February 1. The fair market valueof the bonds without the share warrants is 95. The detachable warrants have a fair valueof $50 each and will expire on April 1, 2022. Each warrant entitles the holder to purchase10 ordinary shares at $40 per share.• Jun. 6- 2,800 ordinary shares were subscribed for at #44 per share. 40% of thesubscription was collected.●Aug. 20 - The balance due on 2,400 shares were received and then issued.Oct. 1 - There were 110 share warrants detached from the bonds and exercised.●RUDOLPH's net income for 2021 is $950,000

We are given an extract of shareholder's equity from the statement of financial position of Rudolph…

Answered: What is the correct balance of ordinary…

Business

Accounting

What is the correct balance of ordinary share capital on December 31, 2021

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

What is advantges and dis advantge of shares repurchacse to the company?
Define treasury stock. Why might a corporation acquire treasury stock? How is treasury stock shown on the balance sheet?
Choices: a. P44.80b. P48.10c. P40.00d. P46.41
17. Under IFRS, what is recorded as compensation expense for all employee share-purchase plans? Par value of shares Amount paid by employees Amount of discount Amount transferred to share premium
Which of the following may qualify as cash equivalents? O Investment in preference shares acquired within a short period of their maturity and with a specified redemption date O None of these O Investment in share options O Investment in ordinary shares
What is the interest income on the bond investment for the year 2022? What is the carrying amount of the bond investment on December 31, 2022?
The date on which a cash dividend becomes a binding legal obligation is the Group of answer choices declaration date date of record payment date last day of the fiscal year
Record the issuance of shares when sold for cash and for noncash consideration
Subscriptions receivable from sale of shares which are not collectible currently shall be presented asRequired to answer. Single choice. a. current assets b. deduction from the related subscribed share capital in the shareholder's equity section c. long-term investment d. other asset.
How do I do this?
What investment is eligible to be held within a RRIF? • a) shares of a privately owned corporation O b) gold bars • c) commodity futures contracts O d) real estate
Why do convertible bonds referred to as potential common shares?