5. ABC Corp holds 1,000 shares of XYZ Corp.'s shares since 2010. The following are data available at Dec 31, 2020: Cost per share P3.00 Transaction cost per share (upon acquisition) P1 Most recent transaction price per share P2 Transaction cost per share (current) P.50 How much is the value of the investment at Dec 31, 2020? 2,000 2,500 3,000 4,000

5. ABC Corp holds 1,000 shares of XYZ Corp.'s shares since 2010. The following are data available at Dec 31, 2020: Cost per share P3.00 Transaction cost per share (upon acquisition) P1 Most recent transaction price per share P2 Transaction cost per share (current) P.50 How much is the value of the investment at Dec 31, 2020? 2,000 2,500 3,000 4,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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9. ABC Corp holds 1,000 shares of XYZ Corp.'s shares since 2019. The following are data available at Dec 31, 2020: Cost per share P3.00 Transaction cost per share (upon acquisition) P1 Most recent transaction price per share P2 Transaction cost per share (current) P.50 If ABC classified these shares as investment in stocks-FVOCI, how much was the initial carrying amount? 2,000 3,000 3,500 4,000
16. ABC Corp holds 1,000 shares of XYZ Corp.'s shares since 2019. The following are data available at Dec 31, 2020: Cost per share P3.00 Transaction cost per share (upon acquisition) P1 Most recent transaction price per share P2 Transaction cost per share (current) P.50 If ABC classified these shares as held for trading. How much was the initial carrying amount? 2,000 2,500 3,000 4,000
Instrument Corporation has the following investment which was held throughout 2021–2022. Assume the organization has invested in stock and holds 40%. Fair Value Cost 12/31/21 Equity investment $900,000 $1,200,000 A. Record the initial investment. B. Total dividends paid equal $400,000. Record the dividends. C. Total Net Income for the year equals $600,000. Record the income. D. If Instrument increased its investment to 55%, what would occur? Explain your answer.
Monty, Inc. had the following equity investment portfolio at January 1, 2020. Evers Company Rogers Company Chance Company Equity investments @ cost Fair value adjustment Equity investments @ fair value During 2020, the following transactions took place. 1. 2. 3. 1,050 shares @ $15 each 890 shares @ $22 each 490 shares @ $8 each 4. $15,750 19,580 3,920 39,250 (7,510 ) $31,740 During 2021, the following transactions took place. 5. 6. 7. On March 1, Rogers Company paid a $2 per share dividend. On April 30, Monty, Inc. sold 300 shares of Chance Company for $12 per share. On May 15, Monty, Inc. purchased 90 more shares of Evers Company stock at $16 per share. At December 31, 2020, the stocks had the following price per share values: Evers $17, Rogers $21, and Chance $7. 8. On February 1, Monty, Inc. sold the remaining Chance shares for $7 per share. On March 1, Rogers Company paid a $2 per share dividend. On December 21, Evers Company declared a cash dividend of $3 per share to be paid in…
2. Akea Corp., reports this journal entry on May 15, 2020: Cash 75,000 Ordinary Share Capital 63,000 Paid in Capital in Excess of Par 12,000 The explanation reads. “Issued ordinary share capital for P50 per share”. What is the par value per share for this transaction?
The financial position as at 31st December, 2019 was as follows: EQUITY AND LIABILITIES GH¢ GH¢ Stated capital: Ordinary share [40,000 at GHC12.50 each] 500,000 Preference shares [20,000 at GHC8.00 each] 160,000 660,000 Long term capital 140,000 800,000 NON-CURRENT ASSETS Building and Land 400,000 Equipment 182,000 Motor Vehicles 48,000 630,000 CURRENT ASSETS Inventory 40,000 Accounts Receivables 20,000 Cash at bank 124,000 184,000 CURRENT LIABILITIES Accounts payable (14,000) 170,000 TOTAL ASSETS 800,000 Additional Information The Company has produced the following estimates: 1) The accounts payable figure of GH¢14,000 stated in the financial statement would be paid in January, 2020. The following credit purchases are settled a month…
The financial position as at 31st December, 2019 was as follows: EQUITY AND LIABILITIES GH¢ GH¢ Stated capital: Ordinary share [40,000 at GHC12.50 each] 500,000 Preference shares [20,000 at GHC8.00 each] 160,000 660,000 Long term capital 140,000 800,000 NON-CURRENT ASSETS Building and Land 400,000 Equipment 182,000 Motor Vehicles 48,000 630,000 CURRENT ASSETS Inventory 40,000 Accounts Receivables 20,000 Cash at bank 124,000 184,000 CURRENT LIABILITIES Accounts payable (14,000) 170,000 TOTAL ASSETS 800,000 The Company has produced the following estimates: 1) The accounts payable figure of GH¢14,000 stated in the financial statement would be paid in January, 2020. The following credit purchases are settled a month after the month of purchase, after deducting two percent (2%) discount. GH¢ January 28,000 February 42,000 March 36,000 April 45,000 May 41,000 June 37,000 2) Sales for January will be GH¢51,300 and will increase at the rate of 20% per month until March. In April, sales…
Consider the following information regarding Kent Ltd, a listed company on ASX in Australia. For the year ended 2018 For the year ended 2019 For the year ended 2020 EPS $1.875 $2.975 DPS $0.725 $0.925 Book Value of Share $30.00 Required Equity Return 7% Share Price on ASX $32.25 Assuming Depression will close operations in 2 years’ time, what would be the residual Income in 2020? Select one: a. $0.2565 per share b. $0.2145 per share c. $0.3950 per share d. $0.7945 per share
Tamarisk, Inc. had the following equity investment portfolio at January 1, 2020. Evers Company 950 shares @ $16 each $15,200 Rogers Company 910 shares @ $20 each 18,200 Chance Company 480 shares @ $8 each 3,840 Equity investments @ cost 37,240 Fair value adjustment (7,240 ) Equity investments @ fair value $30,000 During 2020, the following transactions took place. 1. On March 1, Rogers Company paid a $2 per share dividend. 2. On April 30, Tamarisk, Inc. sold 280 shares of Chance Company for $10 per share. 3. On May 15, Tamarisk, Inc. purchased 90 more shares of Evers Company stock at $17 per share. 4. At December 31, 2020, the stocks had the following price per share values: Evers $18, Rogers $19, and Chance $7. During 2021, the following transactions took place. 5. On February 1, Tamarisk, Inc. sold the remaining Chance shares for $7 per share. 6. On March 1, Rogers Company paid a $2 per share…
2. The market value of the stocks of Sun Corporation at the beginning of year 1 is P150 per share; at the beginning of year 2 is P180. It declares divided of P20 per share. What is the holding period return from the said investment?
Below is Company A's balance sheet at the end of 2022. Assume that Company A issues 25 shares of common stock and 1 share of preferred stock. What is the earnings per share of Company A? 2022 AmountNet sales$1,000.0Variable operating costs 770.0Fixed operating costs 50.0Depreciation and amortization 50.0Interest30.0Taxes20.0Preferred dividends5.0Common dividends25.0 Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
3. ABC Corp holds 1,000 shares of XYZ Corp.'s shares. The following are data available at Dec 1, 2020: Cost per share P3.00 Transaction cost per share (upon acquisition) P1 Most recent transaction price per share P2 Transaction cost per share (current) P.50 If ABC classified these shares as held for trading, how much is the gain (loss) on sale if the securities were all sold on Dec 1? (1,500) 1,500 (2,000) 2,000