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Question - The stockholders' equity section of Denmark Corporation as of December 31, 2021, contained the following accounts:
Ordinary shares, 25,000 shares authorized; 10,000 shares issued and outstanding P30,000
Share Premium- Ordinary shares 40,000
Retained earnings 80,000
Total P150,000
Denmark's board of directors declared a 10 percent stock dividend on April 1, 2022, when the market value of the stock was P7 per share. Accordingly, 1,000 new shares were issued. All of Denmark's stock has a par value of P3 per share. Assuming Denmark sustained a net loss of P12,000 for the quarter ended March 31, 2021, what amount should Denmark report as retained earnings as of April 1, 2021.
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