The capital accounts of Kamprad, Inc. on December 31, 2019, were as follows: Preference share capital, P 400,000 20,000 shares, P20 par Share premium - preference 160,000 Ordinary share capital,...


The capital accounts of Kamprad, Inc. on December 31, 2019, were as follows:<br>Preference share capital,<br>P 400,000<br>20,000 shares, P20 par<br>Share premium - preference<br>160,000<br>Ordinary share capital,<br>4,000,000<br>50,000 shares, P80 par<br>Share premium - ordinary<br>600,000<br>Retained earnings<br>360,000<br>During the year ending December 31, 2020, the following summarizes the<br>transactions affecting the shareholders' equity<br>April 30 - 1,000 preference shares were retired at P25 per share.<br>June 15 - 2,000 treasury shares, ordinary, were purchased at P85 per share<br>June 30 - A two-for-one ordinary share split was declared.<br>July 31 - 800 treasury shares were reissued at P50 per share.<br>Dec. 31 - Profit for 2020 was P300,000.<br>What was the total share premium on December 31, 2020?<br>P761,000<br>P766,000<br>O P760,000<br>O P755,000<br>

Extracted text: The capital accounts of Kamprad, Inc. on December 31, 2019, were as follows: Preference share capital, P 400,000 20,000 shares, P20 par Share premium - preference 160,000 Ordinary share capital, 4,000,000 50,000 shares, P80 par Share premium - ordinary 600,000 Retained earnings 360,000 During the year ending December 31, 2020, the following summarizes the transactions affecting the shareholders' equity April 30 - 1,000 preference shares were retired at P25 per share. June 15 - 2,000 treasury shares, ordinary, were purchased at P85 per share June 30 - A two-for-one ordinary share split was declared. July 31 - 800 treasury shares were reissued at P50 per share. Dec. 31 - Profit for 2020 was P300,000. What was the total share premium on December 31, 2020? P761,000 P766,000 O P760,000 O P755,000

Jun 10, 2022
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