Guys! I need your help right now. True or false only! (Problem 1). You can use google or other sources

544 Chapter 10 Shareholders' 10. When capital stock is issued for consideration in the form of (d) Feb. property other than cash, the carrying amount of the property is used to record the transaction.Pier In Shareholders' Equity (Part 1) 543 their relative fair values. When fair values are indeterminable, Ex the allocation is based on the intrinsic value of the warrants (e, fair value of the ordinary shares minus subscription price). The warrants are assigned their intrinsic value and the excess of the issue price is allocated to the preference shares. XX XX . Cash and non-cash assets received as donations from shareholders are credited to share premium. , Donated shares are initially recorded through memo entry and are recognized only upon their reissuance. PROBLEMS PROBLEM 1: TRUE OR FALSE XX 1. A corporation is formed by at least 5 but not exceeding 15 natural persons, all of legal age and a majority of whom are residents of the Philippines. 2. To amend the articles of incorporation, a majority vote of the issued is board plus a vote by shareholders representing at least two- roportional thirds (2/3) of the outstanding share capital is needed. inable fair 3. Under the memorandum method of accounting for share excess is capital, the entity records its authorized capitalization in a fair value debit/credit form. 4. Preferred stock is generally issued with a par value. shares as 5. In the Philippines, a corporation may issue only one class of hares are shares which is the preferred stock. 6. Convertible preferred stock allows the issuing corporation to recorded redeem the stock. lled, any 7. The call price on callable preferred stock is usually specified in the original agreement and provides for payment of dividends in arrears, if applicable, as part of the repurchase price. es are not B. Stock Subscriptions Receivable is usually regarded as a ion, the the new current asset . " Additional paid-in capital for the excess of the stock subscription price over par or stated value is recorded at the Ce shares allocated time of subscription