Use the following information for the next three (3) questions:At the beginning of current year, Axed Company was authorized to issue share capital of 100,000 shares with P30 par value. Axed had the following share capital transactions during the year: January1Issued 80,000 shares at P70 per shareMay1Reacquired 4,000 treasury shares at P65 per shareJuly1Approved a share split of 5 for 1October31Issued a 10% share dividend when the market value of a share is P25December31Reissued all of the treasury shares at P35December31Net income for the year was P4,500,000. What total amount should be reported as share capital at year-end? Group of answer choices3,200,0003,428,0002,940,0002,628,000

The share capital includes the par value of shares issued by the company.

Answered: Use the following information for the…

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 16E: Contributed Capital Adams Companys records provide the following information on December 31, 2019:...

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Use the following information for the next three (3) questions:

At the beginning of current year, Axed Company was authorized to issue share capital of 100,000 shares with P30 par value. Axed had the following share capital transactions during the year:

January	1	Issued 80,000 shares at P70 per share
May	1	Reacquired 4,000 treasury shares at P65 per share
July	1	Approved a share split of 5 for 1
October	31	Issued a 10% share dividend when the market value of a share is P25
December	31	Reissued all of the treasury shares at P35
December	31	Net income for the year was P4,500,000.

What total amount should be reported as share capital at year-end?

Group of answer choices

3,200,000

3,428,000

2,940,000

2,628,000

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