User Account

All Pages

Compute the additional cost of share investment

Assignment Help Financial Accounting
Reference no: EM132950304

Question - Yultide, Inc. had the following transactions in the ordinary shares of May Corporation:

January 5 Bought 4,000 ordinary shares, P100 par, at P88 each.

June 15 Received 10% share dividend.

August 31 Received P4 cash dividend for each ordinary share.

October 10 Received share rights to buy one new share at P100 for every 5 shares held. Market value of share right is P4. Share rights are accounted for separately.

November 15 Exercise half of the stock rights and half of it expires.

December 15 Sold 1,000 share investment at P100 each. Use the FIFO approach.

Required -

1. Compute the revised unit cost per share after the receipt of 10% dividend on June 15.

2. Compute the unit cost per share after the receipt of share rights on October 10.

3. Compute the loss on share rights on November 15.

4. Compute the additional cost of share investment and additional number of shares purchased on November 15.

5. Compute the gain sale on share investment on December 15.

Reference no: EM132950304

Questions Cloud

Explain the time value of money : Explain the time value of money and where and where are they most critically used?
Advantages and disadvantages of decentralized government : What are the advantages and disadvantages of decentralized government?
Why do some economist argue that budget deficits : Why do some economist argue that budget deficits contribute to increased market rates of interest and reduced private investment.
Determine the Tyrone passive investment income tax : Expenditures directly connected to the production of the passive investment income total $100,200. Determine the Tyrone's passive investment income tax
Compute the additional cost of share investment : Yultide, Inc. had the following transactions in the ordinary shares of May Corporation: Compute the additional cost of share investment
What the net present value of investment for turner company : What the net present value of this investment is? Turner Company has gathered the data on a proposed investment project, The company uses straight-line.
Explain subsidy and the amount of tax revenue : Suppose a positive externality is associated with college enrollment. Assume that college instruction is sold in a competitive and that the marginal social cost
Features of innovative organizations : Managers and change agents utilise various means for mobilising power, exerting influence, and marshalling support for planned change efforts and innovation.
Why is important to understand the nature of costs : Provide a situation when knowledge of these different cost concepts matter? Why is it important to understand the nature of costs?

Reviews

Write a Review

Financial Accounting Questions & Answers

  You have been appointed as a consultant for thomas foods

you have been appointed as a consultant for thomas foods. thomas foods was incorporated in 1969. thomas foods sells

  What is the carrying mount of bonds payable at year-end

What is the carrying mount of bonds payable at year-end? At year-end, Fort Company issued 5,000 of 8%, 10-year, P1,000 face value bonds

  Compute arrows direct material variances

Compute Arrow's direct material variances and compute Arrow's direct labor variances.

  What was the book value of the equipment on january

An estimated residual value of $25,000. What was the book value of the equipment on January 1 of Year 4

  Determine the rate of sales growth

Determine the present value of a $ 3,500 perpetuity if the interest rate is 7%. If interest rates doubled to 14%, find present value.

  Manufactures gas grills

Gelbart company manufactures gas grills. Fixed costs amount to 22896900 per year. Variable costs per gas grill are 315, and the average price per gas grill is 900. How many gas grills must Gelbart Company sell to break even? Gelbart company sells 428..

  Set to be paid off with equal monthly payments

A $100,000 20-yr loan at 6%/yr nominal rate compounded monthly is set to be paid off with equal monthly payments. Then the borrower decides to make two voluntary payments of $10K @n=6 and $20K @n=11 (in place of the regular monthly payments). How muc..

  Calculate journal entry for issuance of bond

Calculate Journal Entry for Issuance of Bond, Bond Amortization Schedule on the basis of Effective Interest method. Cost of Borrowing

  Find formula for remaining balance b after t monthly payment

Find a formula for the remaining balance B after t monthly payments. Assume that you have a balance of $5000 on your Discover credit card.

  Gross margin ratio equals

A company's gross profit was $88,890 and its net sales were $366,100. Its gross margin ratio equals: (Round your answer to one decimal place.) rev: 09_29_2015_QC_CS-27471

  What the total amount that will be added to the common share

What The total amount that will be added to the Common Shares account when the final subscriptions are received will be?Subscriptions Receivable, Common Shares

  Which the gain on extinguishment is equal to the

In a debt restructuring that is considered an asset swap, the gain on extinguishment is equal to the? excess if the fair value of asset over carrying amount.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd