HULK Corporation declared on December 1, 2021 its 10 brand new fleet of cars costing 500,000 each

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Question:

HULK Corporation declared on December 1, 2021 its 10 brand new fleet of cars costing ₱500,000 each as property dividends to be distributed on February 1, 2022 to its ten shareholders. The following fair value less cost to distribute of the cars was determined to be: December 1, 2021 - ₱4,800,000; December 31, 2021 - ₱4,500,000; February 1, 2022 -₱4,000,000. What is the loss on distribution of property dividend to be recognized on February 1, 2022?

2. DRAX Company granted 30,000 share appreciation rights which entitled key employees to receive cash equal to the difference between ₱50 and the market price of the share on the date each right is exercised. The service period is 2020 through 2022, and the rights are exercisable in 2023. The market price of the share was ₱55 and ₱60 on December 2020 and 2021, respectively. What amount should be recorded as compensation expense for 2021?

3. GAMORA Corporation's shareholders' equity is composed of 10,000, ₱10 par ordinary shares, ₱40,000 share premium, and accumulated profits of ₱600,000. If a 40% bonus issue is declared when the shares are selling for ₱50 per share, what amount should be transferred from the accumulated profits account to the share premium account?

4. ULTRON Corporation has the following balances: Ordinary share capital, ₱10 par value, ₱100,000; Paid-in capital in excess of par value, ₱2,850,000. Based on this information:

5. On January 1, 2021, WASP Company granted 10,000 share options to each of its 5 managers. The options vest on January 1, 2025. During this date, the fair value of each share option is ₱50 and it is anticipated that all of the share options will vest on January 1, 2025. How much will be credited to share options outstanding for the year ended December 31, 2021?

6. The balance in the retained earnings of HAWKEYE Corporation on December 31, 2020 and 2021 respectively are P720,000 and P582,000. The net income for 2021 was P500,000. A share dividend was declared and distributed which increased ordinary share capital by P200,000 and share premium by P110,000. A cash dividend was declared and paid. What is the amount of cash dividends declared and paid?