User Account

All Pages

What is the carrying value of the investment on December

Assignment Help Accounting Basics
Reference no: EM132935073

Questions -

Q1. Excel company issued rights to subscribe to its stocks, the ownership of 4 shares entitling the shareholders to subscribe for 1 share at P100. Jealina company owns 50,000 shares of Excel company with total cost of P5,000,000. The share is quoted ex-right at P125. The stock rights are accounted for separately. What is the cost of new investment if all the stock rights are exercised by Jealina Company?

Q2. On January 1, 2009, Hemingway Company acquired 200,000 ordinary shares of Universe Company for P9,000,000. At the time of purchase, Universe Company had outstanding 800,000 shares with a book value of P36,000,000. On December 31, 2009, the following events took place:

Universe Company reported net income of P1,800,000 for the calendar year 2009.

Hemingway Company received from Universe Company a dividend of P0.75 per ordinary share.

The market value of Universe Company share had temporarily declined to P40. The investment in Universe Company is classified as available for sale. What is the carrying value of the investment on December 31, 2009?

Reference no: EM132935073

Questions Cloud

What is the coupon payment every year : The bond makes one payment at end of every year forever and has an interest rate of 4%. If you initially put $2,000 into the bond, what is the coupon payment
How much must he save during each of the next years : How much must he save during each of the next 10 years (with equal deposits being made at the end of each year, beginning a year from today)
What are Ross budgeted collection for July : Ross collects 80% of sales in the month of sale, 10% in the following month; and the final 10% in the second month after the sale. What are Ross budgeted
Calculate the value of the firm : Given the following data: FCF year 1 = $7 million; FCF yrear 2 = $45 million; FCF year 3 = $55 million; calculate the value of the firm
What is the carrying value of the investment on December : The investment in Universe Company is classified as available for sale. What is the carrying value of the investment on December 31, 2009
What kind of lease is this to Heathcote Company : Rental payments of $266,000 are payable at the beginning of each six-month period. What kind of lease is this to Heathcote Company
Calculate the flexed budget cost for July : Budgeted output for July was 4,600 units whilst actual output was 4,700 units. Calculate the flexed budget cost for July
Calculate the dollar value of cash provided : Ocean Pines prepares their Statement of Cash Flows using the indirect method. Use this information to calculate the dollar value of cash provided
What is the change in operating income : Sheltar's sales are currently? 100,000 televisions per year. What is the change in operating income if marketing is correct and only the sales price is? changed

Reviews

Write a Review

Accounting Basics Questions & Answers

  Question - Research the case of Ultramares

Question - Research the case of Ultramares - Would the accountant be found liable under the other two theories of accountant's liabilities to third parties

  Firm quick ratio after nelson

What will be the firm's quick ratio after Nelson has raised the maximum amount of short-term funds? Round your answer to two decimal places.

  Prepare systems flowcharting segments and labels

You are preparing flowcharts for various operations. To create the flowcharts use the Flowchart and Lines shapes that are located in Word. Prepare systems flowcharting segments and labels for the following operations:

  What are the main advantages of

What are the main advantages of:(a) Proprietorships, (b) Partnerships, and (c) Limited liability companies?

  What is main difference between static and flexible budgets

What is the main difference between static and flexible budgets? The fixed manufacturing overhead is existed for the units sold in a flexible budget.

  Calculate Sunland earnings per share

Sunland also had 240,000 common shares outstanding during the year. Calculate Sunland's 2020 earnings per share

  Watson company has the following data work in process

watson company has the following data work in process beginning 18000 work in process ending 25000 direct labor costs

  Tax memo to the irs

Write a 2- to 3-page memo to the file, evaluating the merits of the position taken by the IRS. Use the IRAC Tax memo format: Issue, Ruling, Analysis, and Conclusion.

  Prepare Profit Distribution Statement

Prepare Profit Distribution Statement/Schedule for the year ended 30th June 2020 (the partnership does not use retained earnings accounts)

  On january 1 2011 palmer company leased equipment to woods

on january 1 2011 palmer company leased equipment to woods corporation. the following information pertains to this

  You have a small tax accounting preparation and bookkeeping

scenario summary you have a small tax accounting preparation and bookkeeping practice. a new client enters your office

  Which of conditions auditors should especially notice

When auditing with fraud awareness, auditors should especially notice and follow up employee activities under which of these conditions?

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