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B. On December 31, 2018, Pau Company showed the following shareholders equity: Share capital, P100 par, 50,000 shares authorized, 25,000 shares issued and outstanding P
B. On December 31, 2018, Pau Company showed the following shareholders equity:
Share capital, P100 par, 50,000 shares authorized, 25,000
shares issued and outstanding P 2,500,000
Share premium 2,000,000
Retained earnings 3,500,000
Treasury shares, 5,000 at cost 600,000
On December 31, 2018, Pau Company declared cash dividend of P50 per share to shareholders of record on January 15, 2019 and payable on January 31, 2019.
Required:
Prepare journal entry on December 31, 2018, January 15, 2019 and January 31, 2019.
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