Solution manual fundamentals of accounting by cabrera chapter 07 SM (incomplete)

Chapter Corporate Form of Business Organization Multiple Choice Questions D B A D B 10 C C A C A Test Material Test Material 7-1 Canada Corporation Shareholders’ Equity June 30, 2007 Contributed Capital Preference shares – P100 par value, 8% cumulative convertible, 2,000 share authorized and outstanding Paid-in capital in excess of par value Ordinary shares – P10 stated value, 50,000 shares authorized, 30,000 shares outstanding Ordinary shares subscribed Paid-in capital in excess of stated value Total contributed capital Retained earnings (deficit) Total shareholders’ equity P200,000 10,000 P300,000 100,000 50,000 P210,000 450,000 P660,000 (20,000) P640,000 Chapter Test Material 7-2 Francisco Corporation Shareholders’ Equity December 31, 2007 Contributed Capital Preference shares – P100 par value, 9% cumulative, 20,000 shares authorized Issued and outstanding, 5,000 shares Subscribed but not issued, 1,000 shares Paid-in capital in excess of par value – preference Ordinary shares – P10 par value, 100,000 shares authorized, 70,000 shares outstanding Paid-in capital in excess of par value Total contributed capital Retained earnings (deficit) Total shareholders’ equity P500,000 100,000 18,000 P700,000 560,000 P 618,000 1,260,000 P1,878,000 (122,000) P1,756,000 ...2 Chapter Test Material 7-2 Francisco Corporation Shareholders’ Equity December 31, 2 007 Contributed Capital Preference shares – P100 par value,... Paid-in capital in excess of par value – preference Ordinary shares – P10 par value, 100,000 shares authorized, 70,000 shares outstanding Paid-in capital in excess of par value Total contributed