Reference no: EM133064655

Questions -

Q1. On July 1, 2021, APPLE's Company board of directors declared a 10% share dividend. The market price of Apple's 400,000 outstanding ordinary shares, 50 par value, was 80 per share on the date of declaration. The share dividend was distributed on September 1, 2021, when the market price of shares was 100 per share. What amount should be charged to retained earnings as a result of the share dividend?

4,000,000

0

3,200,000

2,000,000

Q2. On January 11, 2021, BERRY Company declared and distributed its trading securities as dividend. At the time of declaration, the investment has a carrying value of 500,000 and a related unrealized loss of 100,000. By what amount should BERRY Company charge its Retained Earnings as a result of the dividend declaration?

400,000

500,000

600,000

100,000

Q3. The total issued and outstanding of GRAPES Company ordinary shares at 10 par is 100,000 shares. All of the 100,000 shares were issued at average price of 12.50 per share. As of report date, the treasury shares has a balance of 150,000. Total liabilities of the corporation is 400,000. How much is Its book value?

1,100,000

700,000

1,000,000

850,000

Q4. ORANGE Corporation has outstanding 20,000 shares of 8% preference shares with a 10 par value and 100,000 shares of 3 par value ordinary shares. Dividends have been paid every year except last year and the current year. If 80,000 is distributed, how much will the ordinary shareholders receive?

48,000

80,000

64,000

0

Q5. PAPAYA Corporation is authorized to issue 1,000,000 share capital dividend into 10,000 shares with 100 par. If 2,000 shares were sold on cash basis at 150/share, by how much did the corporation's asset increase?

100,000

300,000

400,000

200,000