User Account

All Pages

How much should platinum report as dividend income

Assignment Help Accounting Basics
Reference no: EM132840753

Questions -

Q1. Platinum Corporation bought 160,000 shares of Ore Corporation for P60 each. One month from purchase, Ore declared a 2-for-1 stock split down. Platinum subsequently sold 20,000 shares. During the last month of the reporting period, Ore declared P0.80 dividend per share. How much should Platinum report as dividend income?

a. P48,000

b. P112,000

c. P240,000

d. P56,000

Q2. On January 1, 20X9, Fast Bank made a P2,000,000, 8% loan. The P160,000 interest is receivable at the end of each year, with the principal amount to be received at the end of five years. At the end of 20X9, the first year's interest of P160,000 has not yet been received because the borrower is experiencing financial difficulties. The borrower negotiated a restructuring of the loan. The payment of all of the interest for 5 years will be delayed until the end of the 5 year loan term. In addition, the amount of principal repayment will be dropped from P2,000,000 to P1,200,000. The PV of 1 at 8% for 4 periods is .735. No interest revenue has been recognized in 20X9 in connection with the loan. What is the loan impairment loss for 20X9?

a. P1,323,000

b. P530,000

c. P1,470,000

d. P667,000

Q3. Reason Inc. sold its old equipment with original cost of P2,000,000 and accumulated depreciation of P1,800,000 for 3-year P250,000 note. The interest rate of the loan is 7% while the market rate of similar notes is 8%. The journal entry to record the disposal of the equipment would NOT include

a. CR: Unearned Interest Income - 6,443

b. CR: Gain on sale of equipment - 56,561

c. DR: Note Receivable - 250,000;

d. CR: Equipment - 2,000,000

Q4. On December 31, 20X8, the "Receivables" account of Apple Company shows an amortized cost of P1,950,000. Subsidiary details show the following: Trade accounts receivable, P725,000; Trade notes receivable, P100,000; installments receivable, normally due one (1) year to two (2) years, P300,000; Customers' accounts reporting credit balances arising from sales returns, (P30,000); Advance payments for purchase of merchandise, P150,000; Customers' accounts reporting credit balances arising from advance payments, (P20,000); Cash advances to subsidiary, P400,000, Claims from insurance company, P15,000; Subscription receivable due in 180 days, P300,000; Accrued rent receivable, P10,000. How much should be presented as "trade and other receivables" under current assets?

a. P1,125,000

b. P1,290,000

c. P1,600,000

d. P775,000

Reference no: EM132840753

Questions Cloud

How might a person acquire the abilities : What abilities make a candidate more likely to succeed in an assignment as an expatriate? Which of these abilities do you have? How might a person acquire.
Record transactions in the general journal using the rules : Record transactions in the general journal using the rules of the double entry system. A withdrawal was made for personal use in the amount of $ 700.
What are some of the most common causes of blindness : What are some of the most common causes of blindness? What is responsible for the damage to the optic nerve in patients diagnosed with glaucoma?
Highlights the advantages of horizontal structure : The above situation highlights the advantages of "horizontal structure" for the company. However, horizontal structures may have certain weaknesses.
How much should platinum report as dividend income : During the last month of the reporting period, Ore declared P0.80 dividend per share. How much should Platinum report as dividend income
What technology could be used for project communications : What technology could be used for project communications? What business opportunity might project completion create?
Do think is appropriate for the burden of proof to rest : Do you think it is appropriate for the burden of proof to rest with auditors, who must prove their innocence when faced with litigation
Describe a substantive audit procedure : Describe a substantive audit procedure that can be used to determine that all leased equipment that should have been capitalized during the year
What is big w corporation return on assets : What is Big W Corporation's return on assets? The data is from the last two financial statements of Big W Corporation, whose effective tax rate is 35%.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Calculate the amount of itemized deductions

For calendar year 2019, Stuart and Pamela Gibson file a joint return reflecting AGI of $364,200. Calculate the amount of itemized deductions

  What will you receive as a result

Suppose you own 80 shares of IBM common stock when the company declares a 4% stock dividend. What will you receive as a result?

  Define what inference can you draw from the number collected

Using only websites ending in .gov, report the current GDP, the current Federal deficit, the current Federal debt, and the bottom line of the current (last).

  Estimated amount of depreciation on equipment

The estimated amount of depreciation on equipment for the current year is $41,700.

  Discuss whether you think a 10 percent capacity cushion is

a fast-food restaurant averages 150 customers per hour. the average processing time per customer is 90 seconds. a.

  Calculating price of candle-using markup percentage of cost

Calculating Price Using a Markup Percentage of Cost Grinnell Lake Gift Shop has decided to price the candles that it sells at cost plus 80 percent.

  Physician contract with an managed care organization

There are several key elements required in a physician's contract with an Managed Care Organization (MCO). Research and describe the major components included in a physician's contract. Utilize relevant outside sources.

  Distinguish between financial and managerial accounting

Answer the following questions: Distinguish between financial accounting and managerial accounting as to user groups and time horizons.

  Analyze the role of transfer pricing in the management

Compare and contrast the Internal Rate-of-Return (IRR) method and the Net Present Value (NPV) method of analyzing capital budget projects.

  Prepare an unadjusted trial balance

Create journal entries to record the transactions that occurred during the month of December. (Completed in Unit 3). Prepare an unadjusted trial balance.

  Lion corporation manufactures several types of accessories

lion corporation manufactures several types of accessories. for the year the gloves and mittens line had sales of

  Calculate the number of units circle must sell to break even

Circle Corporation makes a product that sells for $400 per unit. Calculate the number of units Circle must sell to break even

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