Flower Garden Corporation has a delinquent subscription for 4,000 shares of its P20 par value shares capital. The delinquent subscriptions were originally subscribed at par. At the date of subscription, 45% payment has already been made. The delinquent subscription is to be sold at a public auction. Expenses incurred for the auction amount to P 8,500.

The following are the bidders in the public auction: Fernand Hernandez 2,500 shares Kevin De Guzman 2,600 shares Gary Vasquez 2,000 shares How many shares will be given to the highest bidder and the delinquent subscriber? Using the question above, how much should the highest bidder pay for his bid? Using the question above, in case no highest bidder, the journal entry to record the issuance of the shares to the corporation includes.

Answer rating: 100% (QA)

Answer Step 1 Delinquent subscription and workings Delinquent subscription If the subscribers fail t... View the full answer