ABC Company issued 500 ordinary and 500 preference shares for a total consideration of P 20,000. Each ordinary share of ABC sells P 15 and preference share at P 30 in the stock exchange. The par value of the ordinary share is P 10 and the preference shares has no par & no stated value.

1. How much is allocated to Ordinary shares from the total consideration received?
2. How much is allocated to Preference shares from the total consideration received?
3. How much is credited in the Ordinary Share Capital Account upon issuance of the shares?
4. How much is credited in the Preference Share Capital Account upon issuance of the shares?

On January 1,2019, ABC Company issued 2,000 ordinary shares with a par value of P 20 for P 25 each. Transactions cost of P 15,000 related to issuance was also incurred.

1. How much is charged to Ordinary share premium account related to the issuance of the 2,000 ordinary shares?

On January 1,2019, ABC Company issued 2,000 ordinary shares with a par value of P 20 for P 25 each. Transactions cost of P 15,000 related to issuance was also incurred. The balance of the Ordinary share premium account as of this date is P 25,000.

1. How much is charged to Retained earnings in the issuance of the 2,000 ordinary shares?