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SKIPPY Company reported the following amounts in the equity section of its December 31, 2019 Statement of Financial Position: Preference shares 8%, P100 par (10,000 shares authorized, 2,000 shares issued) 200,000 Ordinary shares - P5 par (100,000 shares authorized, 20,000 shares issued) Share premium 100,000 125,000 Retained earnings 450,000 Total shareholders' equity P 875,000 During 2020, SKIPPY took part in the following transactions concerning equity: • Paid the annual 2019 P8 per share dividend on preference shares and a P2 per share dividend on ordinary shares. These dividends had been declared on December 31,2019. • Purchased 2,700 shares of its own outstanding ordinary shares for P40 per share. Reissued 700 treasury shares for land valued at P30,000. Issued 500 preference shares at P105 per share Declared a 10% share dividend on the outstanding ordinary shares when the shares are selling for P45 per share Issued the share dividend Declared the annual 2020 P8 per share dividend on preference shares and the P2 per share dividend on ordinary shares. These dividends are payable in 2021. SKIPPY reported net income of P330,000 for the year

SKIPPY Company reported the following amounts in the equity section of its December 31, 2019 Statement of Financial Position: Preference shares 8%, P100 par (10,000 shares authorized, 2,000 shares issued) 200,000 Ordinary shares - P5 par (100,000 shares authorized, 20,000 shares issued) Share premium 100,000 125,000 Retained earnings 450,000 Total shareholders' equity P 875,000 During 2020, SKIPPY took part in the following transactions concerning equity: • Paid the annual 2019 P8 per share dividend on preference shares and a P2 per share dividend on ordinary shares. These dividends had been declared on December 31,2019. • Purchased 2,700 shares of its own outstanding ordinary shares for P40 per share. Reissued 700 treasury shares for land valued at P30,000. Issued 500 preference shares at P105 per share Declared a 10% share dividend on the outstanding ordinary shares when the shares are selling for P45 per share Issued the share dividend Declared the annual 2020 P8 per share dividend on preference shares and the P2 per share dividend on ordinary shares. These dividends are payable in 2021. SKIPPY reported net income of P330,000 for the year

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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What is the total balance of RETAINED EARNINGS account as of December 31, 2020? 

8. What is the total balance of RETAINED EARNINGS account as of December 31, 2020? * SKIPPY Company reported the following amounts in the equity section of its December 31, 2019 Statement of Financial Position: Preference shares 8%, P100 par (10,000 shares authorized, 2,000 shares issued) 200,000 Ordinary shares - P5 par (100,000 shares authorized, 20,000 shares issued) 100,000 Share premium 125,000 Retained earnings 450,000 Total shareholders' equity P 875,000 During 2020, SKIPPY took part in the following transactions concerning equity: Paid the annual 2019 P8 per share dividend on preference shares and a P2 per share dividend on ordinary shares. These dividends had been declared on December 31,2019. • Purchased 2,700 shares of its own outstanding ordinary shares for P40 per share. • Reissued 700 treasury shares for land valued at P30,000. • Issued 500 preference shares at P105 per share • Declared a 10% share dividend on the outstanding ordinary shares when the shares are selling for P45 per share • Issued the share dividend • Declared the annual 2020 P8 per share dividend on preference shares and the P2 per share dividend on ordinary shares. These dividends are payable in 2021. • SKIPPY reported net income of P330,000 for the year
Transcribed Image Text:8. What is the total balance of RETAINED EARNINGS account as of December 31, 2020? * SKIPPY Company reported the following amounts in the equity section of its December 31, 2019 Statement of Financial Position: Preference shares 8%, P100 par (10,000 shares authorized, 2,000 shares issued) 200,000 Ordinary shares - P5 par (100,000 shares authorized, 20,000 shares issued) 100,000 Share premium 125,000 Retained earnings 450,000 Total shareholders' equity P 875,000 During 2020, SKIPPY took part in the following transactions concerning equity: Paid the annual 2019 P8 per share dividend on preference shares and a P2 per share dividend on ordinary shares. These dividends had been declared on December 31,2019. • Purchased 2,700 shares of its own outstanding ordinary shares for P40 per share. • Reissued 700 treasury shares for land valued at P30,000. • Issued 500 preference shares at P105 per share • Declared a 10% share dividend on the outstanding ordinary shares when the shares are selling for P45 per share • Issued the share dividend • Declared the annual 2020 P8 per share dividend on preference shares and the P2 per share dividend on ordinary shares. These dividends are payable in 2021. • SKIPPY reported net income of P330,000 for the year
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What is the total balance of SHAREHOLDERS' EQUITY as of December 31, 2020?


8. What is the total balance of RETAINED EARNINGS account as of December 31, 2020? * SKIPPY Company reported the following amounts in the equity section of its December 31, 2019 Statement of Financial Position: Preference shares 8%, P100 par (10,000 shares authorized, 2,000 shares issued) 200,000 Ordinary shares - P5 par (100,000 shares authorized, 20,000 shares issued) 100,000 Share premium 125,000 Retained earnings 450,000 Total shareholders' equity 875,000 During 2020, SKIPPY took part in the following transactions concerning equity: • Paid the annual 2019 P8 per share dividend on preference shares and a $2 per share dividend on ordinary shares. These dividends had been declared on December 31, 2019. • Purchased 2,700 shares of its own outstanding ordinary shares for 40 per share. • Reissued 700 treasury shares for land valued at $30,000. • Issued 500 preference shares at P105 per share • Declared a 10% share dividend on the outstanding ordinary shares when the shares are selling for $45 per share • Issued the share dividend • Declared the annual 2020 8 per share dividend on preference shares and the $2 per share dividend on ordinary shares. These dividends are payable in 2021. • SKIPPY reported net income of $330,000 for the year
Transcribed Image Text:8. What is the total balance of RETAINED EARNINGS account as of December 31, 2020? * SKIPPY Company reported the following amounts in the equity section of its December 31, 2019 Statement of Financial Position: Preference shares 8%, P100 par (10,000 shares authorized, 2,000 shares issued) 200,000 Ordinary shares - P5 par (100,000 shares authorized, 20,000 shares issued) 100,000 Share premium 125,000 Retained earnings 450,000 Total shareholders' equity 875,000 During 2020, SKIPPY took part in the following transactions concerning equity: • Paid the annual 2019 P8 per share dividend on preference shares and a $2 per share dividend on ordinary shares. These dividends had been declared on December 31, 2019. • Purchased 2,700 shares of its own outstanding ordinary shares for 40 per share. • Reissued 700 treasury shares for land valued at $30,000. • Issued 500 preference shares at P105 per share • Declared a 10% share dividend on the outstanding ordinary shares when the shares are selling for $45 per share • Issued the share dividend • Declared the annual 2020 8 per share dividend on preference shares and the $2 per share dividend on ordinary shares. These dividends are payable in 2021. • SKIPPY reported net income of $330,000 for the year
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