The shareholders equity account of algeria corporation


Assignment no. 2

The shareholders equity account of Algeria Corporation, after its initial year of operation in 2016 dhows the following:

Date                      Particulars                                                           Debit                     Credit

Jan. 1                     Issued 6,000 shares at par P100 in

                                Exchange for real property with a

                                Market value of P800,000; authorized

                                20,000 shares                                                                                     600,000

Jan. 15                  Sold 8,000 shares at P120                                                              960,000

Mar. 10                 Purchase 800 Algeria shares at P150        120,000

May 15                                 Loss on sale of machinery                               40,000

June 10                 Sold 400 treasury shares                                                                 68,000

Dec. 31                 Cash dividends declared payable

                                January 15, 2017                                                  80,000

Dec. 31                 Profit for the year                                                                            316,000

Questions:

Based on the information presented above and the result of your audit, answer the following.

1. The adjusted share capital as of December 31, 2016 is

2. The total share premium as of December 31, 2016 is

3. The unapproriated retained earnings as of December 31, 2016 is

4. The adjusted total equity on December 31, 2016 is

Solution Preview :

Prepared by a verified Expert
Accounting Basics: The shareholders equity account of algeria corporation
Reference No:- TGS02600431

Now Priced at $10 (50% Discount)

Recommended (99%)

Rated (4.3/5)