13. Maple Tree Mall, Inc., has 2,500 shares of 2%, P25 par cumulative preferred stock and 125,000 shares of P2 par common stock outstanding. At the beginning of the current year, preferred dividends were four years in arrears. Maple Trees board of directors wants to pay a P2.50 cash dividend on each share of outstanding common stock in the current year. To accomplish this, what total amount of dividends must Maple Tree declare?

a. P250,000

b. P255,000

c. P256,250

dP318,750

14. At December 31, year 2 and year 3, Alex Company had 3,000 shares of P100 par, 5% cumulative preferred stock outstanding. No dividends were in arrears as of December 31, year 1. Alex did not declare a dividend during year 2. During year 3, Alex paid a cash dividend of P10,000 on its preferred stock. Alex should report dividends in arrears in its year 3 financial statements as:

a. Accrued liability of P15,000.

b. Disclosure of P15,000.

c. Accrued liability of P20,000.

d. Disclosure of P20,000.

15. Selected information from the accounts of Charing Co. at December 31, 2021 follows:

Total income since incorporation P420,000

Total cash dividends paid 130,000

Total value of property dividends distributed 30,000

Excess of proceeds over cost of treasury shares

sold, accounted for using the cost method 110,000

In its December 31,2021 financial statements, what amount should Charing report as Accumulated Profits?

a. 260,000

b. 290,000

c. 370,000

d. 400,000