The December 31, 2019 condensed balance sheet of Ambani Services, an individual proprietorship, follows: Current assets P140,000 Equipment (net) 130,000 P270,000 Liabilities P 70,000 Mukesh Ambani, Capital 200,000 P270,000 Fair values at December 31, 2019 are as follows: Current assets P160,000 Equipment 210,000 Liabilities 70,000 On January 2, 2020, Ambani Services was incorporated with 5,000, P10 par value, ordinary shares issued. How much should be credited to share premium? P250,000 P320,000 P230,000 P200,000
The December 31, 2019 condensed balance sheet of Ambani Services, an individual proprietorship, follows: Current assets P140,000 Equipment (net) 130,000 P270,000 Liabilities P 70,000 Mukesh Ambani, Capital 200,000 P270,000 Fair values at December 31, 2019 are as follows: Current assets P160,000 Equipment 210,000 Liabilities 70,000 On January 2, 2020, Ambani Services was incorporated with 5,000, P10 par value, ordinary shares issued. How much should be credited to share premium? P250,000 P320,000 P230,000 P200,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
The December 31, 2019 condensed balance sheet of Ambani Services, an individual proprietorship, follows:
Current assets |
P140,000 |
Equipment (net) |
130,000 |
|
P270,000 |
|
|
Liabilities |
P 70,000 |
Mukesh Ambani, Capital |
200,000 |
|
P270,000 |
Fair values at December 31, 2019 are as follows:
Current assets |
P160,000 |
Equipment |
210,000 |
Liabilities |
70,000 |
On January 2, 2020, Ambani Services was incorporated with 5,000, P10 par value, ordinary shares issued. How much should be credited to share premium?
P250,000
P320,000
P230,000
P200,000
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