1. The PowerPoint Corporation has two classes of share capital outstanding: 9% (dividend rate), P20 par, Preference and P70 par, Ordinary. During the fiscal year ending December 31, 2012, the company had the equity transactions in chronological order as reflected in the table below. Dividends were paid at the end of the fiscal year on the ordinary share at P1.20 per share and on the preference at the preference rate. Profit for the year was P850,000. How much should be the amount of Preference Share Capital to be shown on the December 31, 2012 statement of financial position? 2 points Issue of preference share Issue of ordinary share Reacquisition and retirement of preference Purchase of treasury ordinary share Share split Reissue of treasury ordinary share No. of shares Price per share 10,000 P28 35,000 70 2,000 30 5,000 80 2-for-1 5,000 52 Balances of the accounts in the shareholders' equity section of the December 31, 2011 statement of financial position were: Preference Share Capital, 50,000 shares Ordinary Share Capital, 100,000 shares Share Premium-Preference Share Premium-Ordinary Retained Earnings a. P1,220,000 b. P1,160,000 c. P1,140,000 d. P1,116,000 P1,000,000 7,000,000 400,000 1,200,000 550,000