1. Prepare the journal entries to record these transactions. 2. Prepare the share capital section of the shareholders' equity as at Dec. 31, 2018 and Dec. 31, 2019.. 3. Prepare a table showing dividend allocations and dividends per share for 2018 and 2019 assuming the corporation declared the following cash dividends: 2018 P50,000, and 2019, P300,000. Accomplish this requirement after studying Chapter 7. 4. Prepare the Jan. 2, 2018 journal'entry for the issuance of 200,000 ordinary shares for P12 cash per share assuming: a. Ordinary shares is no-par without a stated value. b. Ordinary shares is no-par with a stated yalue of P10 per share.

SHOW THE JOURNAL ENTRY FOR EACH TRANSACTION!

26 )

Ricci Corporation is preparing their financial statements for the year ending September 30, 2021. Ricci Corporation has two categories of stock; Preferred and Common. On September 25, 2021 Ricci Corporation declared dividends on the preferred stock which will be paid on October 18, 2021. In order to calculate EPS the staff accountant had the following information: 2021 Net Income: $4,000,000 Preferred Dividends Declared in September 25, 2021 $ 500,000 but not paid until October 18, 2021 Weighted Average Number of Common Shares Outstanding 125,000 shares The staff accountant has determined that since the preferred dividends were not paid prior to September 30, 2021 the preferred dividend should not be included in the 2021 EPS. Accounting Issue: In the calculation for EPS should Ricci Corporation include the preferred dividends not paid prior to September 30, 2021? Your Interpretation of the Guidance: Should Ricci Corporation include the preferred dividends in the calculation of EPS…