At the beginning of 2019, ABC Corporation had retained earnings of P 3,000,000. Throughout the year, the company had 20,000 shares of P 100 par value ordinary shares that are issued and outstanding. During the year 2019, ABC Corporation reported profit of P 5,000,000, purchases treasury shares for P 580,000, declared cash dividends of P 1,500,000, reissued all treasury shares at a gain of P 180,000, and declared and issued 5,000 ordinary shares as bonus issue when the market value was P 150 per share. What is the retained earning balance at December 31,2019?

Answer rating: 100% (QA)

1 Beginning Retained Earnings January 1 2019 P 3000000 2 Profit for the ... View the full answer