1. Property dividend is

A. also called dividend in kind.

B. usually in the form of securities of other entities

C. measured based on the carrying amount of the property transferred.

D. A and B

E. A, B and C

2. Sine Co. had outstanding 20,000 shares of P100 par value 8% cumulative preference shares and 30,000 shares of P50 par value ordinary shares on December 31, 2019. At December 31, 2018, dividends in arrears on the preference shares were P80,000. Cash dividends declared in 2019 totaled P300,000. The amounts paid to preference shareholders and ordinary shareholders are:*

A. P80,000 and P220,000

B. P160,000 and P140,000

C. P220,000 and P80,000

D. P240,000 and P60,000