1. On January 1, 2021, Aeropagus Company has P4,970,800 share capital, P6,780,00 share premium and P5,800,00 Retained earnings. During the year the company declared a 5% stock dividend on 115,600 issued and outstanding shares of P43 par value, which had a fair value of P50 pee share before the stock dividend was declared. This stock dividend was distributed 60 days after declaration date. How much is the increased in current liabilities as a result of the stock dividend declaration? How much is the share capital of Aeropagus Company after the stock dividend was distributed?
1. On January 1, 2021, Aeropagus Company has P4,970,800 share capital, P6,780,00 share premium and P5,800,00 Retained earnings. During the year the company declared a 5% stock dividend on 115,600 issued and outstanding shares of P43 par value, which had a fair value of P50 pee share before the stock dividend was declared. This stock dividend was distributed 60 days after declaration date. How much is the increased in current liabilities as a result of the stock dividend declaration? How much is the share capital of Aeropagus Company after the stock dividend was distributed?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
1. On January 1, 2021, Aeropagus Company has P4,970,800 share capital, P6,780,00 share premium and P5,800,00 Retained earnings . During the year the company declared a 5% stock dividend on 115,600 issued and outstanding shares of P43 par value, which had a fair value of P50 pee share before the stock dividend was declared. This stock dividend was distributed 60 days after declaration date.
How much is the increased in current liabilities as a result of the stock dividend declaration?
How much is the share capital of Aeropagus Company after the stock dividend was distributed?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education