BRANDY CO. was organized at the beginning of the 2021. The following shareholders equity accounts are included in the entitys year-end trial balance:

Preference share capital, P100 par, authorized 100,000 shares,
issued and outstanding, 66,000 shares	P	6,600,000
Preference share capital subscribed, 6,000 shares		600,000
Share premium - preference		240,000
Subscriptions receivable - preference		360,000
Ordinary share capital, P10 par value, authorized 200,000 shares,
issued and outstanding, 72,000 shares		720,000
Ordinary share capital subscribed, 72,000 shares		720,000
Share premium - ordinary		2,850,000
Subscriptions receivable - ordinary		1,080,000

The following information relate to Brandy Co.s shareholders equity happened during 2021:

Immediately after Brandy Co. was organized, it received subscriptions to 60,000 preference shares. Subscriptions to ordinary shares were also received on the same date. During the year, subscriptions were received for an additional 12,000 preference shares at a price of P120 per share. Cash payments were received from subscribers at frequent intervals for several months after subscription. The companys policy is to issue share certificates only upon full payment of the share subscription. Unpaid subscription is to be accounted as contra-equity. Also, during the current year, Brandy Co. issued 24,000 ordinary shares in exchange for a tract of land with a fair value of P690,000.

3. The companys statement of financial position at the end of the current year should report contributed capital of The companys statement of financial position at the end of the current year should report contributed capital of

Preference Ordinary

	a.	6,480,000 2,490,000
	b.	P7,440,000 P4,290,000
	c.	7,080,000 3,210,000
	d.	6,840,000 360,000