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The shareholders' equity of Dallas Mavericks Corporation is presented below:
10% Preference Share, 2,000 shares outstanding P 200,000 Ordinary Shares, 5,000 shares outstanding 100,000 Preference share premium 20,000 Ordinary share premium 25,000 Retained Earnings 450,000
Problem 1: If 350 shares of Preference Shares were retired at P 125/share, how much will be credited to the Retained Earnings account?
Problem 2: If 500 shares of Preference Shares were converted into Ordinary Shares at a rate of four shares for every share of Preference Share, the amount to be credited to Ordinary Share Capital account will be
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