Corporation

Required:

Em PROFESSOR: 'Problem #26 :harte Transactions; Shareholders' Equity Section of the Statement of Financial 05: ion The following selected accounts appeared in the ledger 6f M. Penaflor Corporation on July 2017, the beginning of the current scal year: . 4% Preference Shares, P50 pa r, 10,000 shares authorized, 7,000 shares issued 9350.000 Share Premium-Preference 28'000 Ordinary Shares, P20 par, 50,000 shares authorized, 25,000 shares issued ' 5003'\" Share Premium-Ordinary 90:000 Retained Earnings , 537.000 During the year, the corporation completed a number of transactions affecting the shareholders' equity. They are summarized as follows: a. Purchased 2,000 shares of treasury-ordinary for P55,000. b Sold 500 shares of treasury-ordinary for P16,000. c. Issued 5,000 ordinary shares at P30, receiving cash. d. Sold 1,000 shares of preference 4% share at P5250. e f Sold 600 shares of treasury-ordinary for P15,600. Declared cash dividends of P2 per share on preference shares and P1 per share on ordinary shares. Paid the cash dividends. g. h. The board of directors authorized the appropriation necessitated by the holding of treasury stock. Required: 1. Journalize the entries to record the transactions. 2, Prepare the statement of changes in shareholders' equity for the year ended June 30, 2018. The profit for the year was P165,000. 3. Prepare the shareholders' equity section of the statement of financial position as of June 30, 2018