Magellan Centennial Hotel was organized and incorporated in January of 2020 with an authorized share capital consisting of 6% preference shares of 50,000 and 100,000 ordinary shares at par value of P25 and P75 respectively. The incorporators made their corresponding subscriptions in shares and payments as follows: Incorporators Number of Shares Subscribed Payments Received Preference 4,000 Ordinary 12,000 11,000 10,000 9,000 Preference P 30,000 22,500 25,000 37.000 P114,500 Ordinary P270,000 206,000 150,000 135.000 P761,000 Cedric Naranjo Rose Jacalan Mariz Valdez Sharon Gabriel 3,000 5,000 6,000 Other transactions follow: January 2 |The Corporate Treasurer deposited at Banco de Oro the amount corresponding to payments of the above incorporators and received certificate of bank deposits. Withdrew the amount of P7,000 in payment of incorporation fees and other expenses relative to the incorporation process. Paid cash to Atty. Lucilo Sarona for legal services rendered in preparing incorporation papers, P3,000. Elena Lucas subscribed 300 shares of 6% preference at P30 and 500 ordinary shares at par value, making a 20% down payment for each of the share, P9,300. Sofia Godin subscribed 1,200 ordinary shares in exchange for a lot to be utilized as a parking space of the hotel. The fair market of the lot was P100,000. A share certificate was issued. Issued for cash to Zola Camba, for 600 preference shares at P35 and 100 ordinary shares at P80. A share certificate was issued, Collected P7,200 from Elena Lucas representing her full payment of 6% preference shares subscription. A share certificate was issued for preference share. Net income for the year amounted to P1,200,000. The corporation acquired 100 shares of its own ordinary shares at P90. January 15 January 25 February 2 February 20 March 3 April 15 December 31 December 31 REQUIRED: 1. Prepare Comparative Entry using the Memorandum and Journal Entry Methods. 2. Prepare the Shareholders' Equity section of the Statement of Financial Position for the two methods used.