27. Jetson Co. issued 50,000 shares of P20 par value ordinary shares at P24 per share. A year after, Jetson Co. reacquired 10,000 shares of its own at P30 per share in order to avoid possible corporate takeover by outsiders. Using cost method of accounting for treasury stock, the entry to record the acquisition is Cash P300,000 Treasury Stock P300,000 Ob. Treasury Stock P300,000 Cash P300,000 Oc. Treasury Stock P200,000 Share Premium-Treasury100,000 Cash P300,000 od. Treasury Stock P300,000 Share Premium-Treasury P100,000 Cash 200,000
27. Jetson Co. issued 50,000 shares of P20 par value ordinary shares at P24 per share. A year after, Jetson Co. reacquired 10,000 shares of its own at P30 per share in order to avoid possible corporate takeover by outsiders. Using cost method of accounting for treasury stock, the entry to record the acquisition is Cash P300,000 Treasury Stock P300,000 Ob. Treasury Stock P300,000 Cash P300,000 Oc. Treasury Stock P200,000 Share Premium-Treasury100,000 Cash P300,000 od. Treasury Stock P300,000 Share Premium-Treasury P100,000 Cash 200,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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etson Co. issued 50,000 shares of P20 par value ordinary shares at P24 per share. A year after, Jetson Co. reacquired 10,000 shares of its own at P30 per share in order to avoid possible corporate takeover by outsiders. Using cost method of accounting for
Transcribed Image Text:27. Jetson Co. issued 50,000 shares of P20 par value ordinary shares at P24 per
share. A year after, Jetson Co. reacquired 10,000 shares of its own at P30 per share in
order to avoid possible corporate takeover by outsiders. Using cost method of
accounting for treasury stock, the entry to record the acquisition is
a.
Cash
P300,000
Treasury Stock
P300,000
Ob.
Treasury Stock
P300,000
Cash
P300,000
Treasury Stock
P200,000
Share Premium-Treasury100,000
Cash
P300,000
d.
Treasury Stock
P300,000
Share Premium-Treasury P100,000
Cash
200,000
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