Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

9. DOT Company issued 25,000 shares of its P50 par ordinary and 40,000 shares of its P25 redeemable preference for a total amount of P3,000,000.

9. DOT Company issued 25,000 shares of its P50 par ordinary and 40,000 shares of its P25 redeemable preference for a total amount of P3,000,000. The redeemable preference shares has a mandatory redemption date 2 years after their issuance. At the date of issue, the ordinary shares had a market value of P65 per share and the preference shares are selling at P30 per share. What is the amount credited to share premium from ordinary shares?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

College Accounting A Practical Approach 1-15

Authors: Jeffrey Slater

4th Edition

013142050X, 978-0131420502

More Books

Students also viewed these Accounting questions

Question

Describe forecasting requirements.

Answered: 1 week ago