2. 3. On November 1, 2015, CPAR Company declared inventory as property dividend payable of February...

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2. 3. On November 1, 2015, CPAR Company declared inventory as property dividend payable of February 15, 2016. The carrying amount of the inventory is P700, 000. Data relating to the fair values of the inventory follow: Date 1-Nov-15 12/31/2015 2/15/2016 FV (assume these are not materially different with the net realizable values) Date 1-Nov-15 12/31/2015 2/15/2016 P600,000 P800,000 P780,000 Requirement: Prepare the journal entries On November 1, 2015, CPAR Company declared equipment as property dividend payable of February 15, 2016. The carrying amount of the inventory is P700, 000. Data relating to the fair values of the inventory follow: FV (assume that the costs to distribute are immaterial) P600,000 P800,000 P780,000 Requirement: Prepare the journal entries The shareholders' equity section of Baguio Co. on December 31 is as follows Ordinary share P50 par, 105,000 shares issued Share premium on ordinary shares Treasury shares (5,000 shares) Accumulated Profits 5,050,000 1,010,000 300,000 10,000,000 Requirement: a. The company declared 10% share dividends on the ordinary share when the market value per share is P130. b. The company declared 20% share dividends on the ordinary share when the market value per share is P130. c. The company declared and paid P2 per share liquidating dividends. d. Assume instead that the 5,000 treasury shares were declared as share dividends. 2. 3. On November 1, 2015, CPAR Company declared inventory as property dividend payable of February 15, 2016. The carrying amount of the inventory is P700, 000. Data relating to the fair values of the inventory follow: Date 1-Nov-15 12/31/2015 2/15/2016 FV (assume these are not materially different with the net realizable values) Date 1-Nov-15 12/31/2015 2/15/2016 P600,000 P800,000 P780,000 Requirement: Prepare the journal entries On November 1, 2015, CPAR Company declared equipment as property dividend payable of February 15, 2016. The carrying amount of the inventory is P700, 000. Data relating to the fair values of the inventory follow: FV (assume that the costs to distribute are immaterial) P600,000 P800,000 P780,000 Requirement: Prepare the journal entries The shareholders' equity section of Baguio Co. on December 31 is as follows Ordinary share P50 par, 105,000 shares issued Share premium on ordinary shares Treasury shares (5,000 shares) Accumulated Profits 5,050,000 1,010,000 300,000 10,000,000 Requirement: a. The company declared 10% share dividends on the ordinary share when the market value per share is P130. b. The company declared 20% share dividends on the ordinary share when the market value per share is P130. c. The company declared and paid P2 per share liquidating dividends. d. Assume instead that the 5,000 treasury shares were declared as share dividends.

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1 Journal entries for inventory dividend Nov 1 2015 Dividends Payable 700000 Retained Earnings 70000... View the full answer