Answer with solution and explanation

Retained Earnings 1. This part of shareholder's equity represents the cumulative balance of periodic net income or loss, dividend distributions, prior period errors, changes in accounting policy and other capital adjustments. A. Retained Earnings B. Unappropriated Retained Earnings C. Appropriated Retained Earnings D. Net Income 2. The amount declarable as dividends: A. Legal Capital B. Unappropriated retained earnings C. Appropriated Retained Earnings D. Share Premium The Board of Directors at their meeting on December 31, 2017 declared a dividend of P5 per share, payable March 31, 2018, to shareholders of record on January 31, 2018 3. Dividends will be recorded on A. December 31, 2017 B. January 1, 2018 C. January 31, 2018 C. March 31, 2018 4. On January 31, 2018, the entry for dividend would include: A. Debit to Retained Earnings B. Credit to Dividends Payable C. Credit to Cash/Asset to be given D. No entry 5. On March 31, 2018, the entry for dividend would include: A. Debit to Retained Earnings B. Credit to Dividends Payable C. Credit to Cash/Asset to be given D. No entry 6. IFRIC 17, paragraph 11, provides that an entity shall measure a liability to distributed noncash asset as a dividend to its owners at A. Cost B. Fair Value C. Carrying Amount D. Revalued Amount