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ABC Company was incorporated on January 1, 2018 with 100,000 ordinary shares, no par value, stated value P40 and 50,000, 10 percent cumulative preference shares, P100 par. During 2018, the entity issued 25,000 ordinary shares for a total of P1,625,000 and 10,000 preference shares at P120 per share. In addition, on December 20, 2018, subscription for 10,000 ordinary shares were taken at a purchase price of P55 per share, half of the subscription price was paid on that date. The balance for the subscribed shares was paid on January 2, 2019 and the share certificate were issued on the same date. What amount should be reported as total contributed capital on December 31, 2018?

ABC Company was incorporated on January 1, 2018 with 100,000 ordinary shares, no par value, stated value P40 and 50,000, 10 percent cumulative preference shares, P100 par. During 2018, the entity issued 25,000 ordinary shares for a total of P1,625,000 and 10,000 preference shares at P120 per share. In addition, on December 20, 2018, subscription for 10,000 ordinary shares were taken at a purchase price of P55 per share, half of the subscription price was paid on that date. The balance for the subscribed shares was paid on January 2, 2019 and the share certificate were issued on the same date. What amount should be reported as total contributed capital on December 31, 2018?

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter15: Contributed Capital
Section: Chapter Questions
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ABC Company was incorporated on January 1, 2018 with 100,000 ordinary shares, no par value, stated value P40 and 50,000, 10 percent cumulative preference shares, P100 par. During 2018, the entity issued 25,000 ordinary shares for a total of P1,625,000 and 10,000 preference shares at P120 per share. In addition, on December 20, 2018, subscription for 10,000 ordinary shares were taken at a purchase price of P55 per share, half of the subscription price was paid on that date. The balance for the subscribed shares was paid on January 2, 2019 and the share certificate were issued on the same date. What amount should be reported as total contributed capital on December 31, 2018?

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