Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The shareholders' equity section of XYZ Corporation as of December 31, 2021. 10% Preference Share Capital, P200 par, authorized 15,000 shares, issued 10,000 Ordinary

The shareholders' equity section of XYZ Corporation as of December 31, 2021. 10% Preference Share Capital, P200 par, authorized 15,000 shares, issued 10,000 Ordinary Share Capital, P100 par, authorized 10,000 shares, 7000 shares issued of which 500 are in treasury Ordinary Share premium Treasury shares (500 at cost) Retained Earnings Appropriated for Treasury Shares Unappropriated Treasury Shares P2,000,000 No dividend has been declared since January 1, 2020. Compute for the dividends to be distributed to the preference and ordinary shareholders based on the following independent situations upon declaration on January 2, 2022. a. Cash dividend declared was P250,000. The preference share is non-cumulative and non- participating. b. Cash dividend declared was P700,000. The preference share is cumulative and non- participating. c. Cash dividend declared was P350,000. The preference share is non-cumulative and fully participating d. Cash dividend declared was P1,000,000. The preference share is cumulative and fully participating. e. Cash dividend declared was P350,000. The preference share is non cumulative and participating up to 12%. 700,000 50,000 60,000 60,000 1,500,000

Step by Step Solution

3.48 Rating (148 Votes )

There are 3 Steps involved in it

Step: 1

a Cash dividend declared was P250000 The preference share is noncumulative and nonparticipating For noncumulative and nonparticipating preference shares the dividend is only paid to the preference sha... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting A User Perspective

Authors: Robert E Hoskin, Maureen R Fizzell, Donald C Cherry

6th Canadian Edition

470676604, 978-0470676608

More Books

Students also viewed these Accounting questions

Question

Cite ways to reduce excess spending.

Answered: 1 week ago

Question

Differentiate the function. r(z) = 2-8 - 21/2 r'(z) =

Answered: 1 week ago