TYLER company, has sustained heavy losses over a period of time and conditions warrant that TYLER undergo a quasi reorganization on December 31, 2012. *Inventory with cost of P26,000,000 was recorded on December 31, 2012 at its market value of P24,000,000. *Property, Plant & Equipment were recorded on December 31, 2012 at P48,000,000, net of accumulated depreciation. The sound value was P32,000,000. *On December 31, 2012, the share capital is P28,000,000 consisting of 2,800,000 shares with par value of P10, the share premium is P6,400,000, and the deficit in retained earnings is P3,600,000. *The par value of the share is to be reduced from P10 to P5. Immediately after the quasi-reorganization, what is the total shareholders’ equity?

TYLER company, has sustained heavy losses over a period of time and conditions warrant that TYLER undergo a quasi reorganization on December 31, 2012. Inventory with cost of P26,000,000 was recorded on December 31, 2012 at its market value of P24,000,000. Property, Plant & Equipment were recorded on December 31, 2012 at P48,000,000, net of accumulated depreciation. The sound value was P32,000,000. On December 31, 2012, the share capital is P28,000,000 consisting of 2,800,000 shares with par value of P10, the share premium is P6,400,000, and the deficit in retained earnings is P3,600,000. The par value of the share is to be reduced from P10 to P5. Immediately after the quasi-reorganization, what is the total shareholders’ equity?

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 31P

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FFF Company had sustained heavy losses over a period of time and conditions warrant that the entity should undergo a quasi-reorganization on December 31, 2020.-Inventory with cost of P6,500,000 was recorded on December 31, 2020 at the market value of P6,000,000-Property, Plant and Equipment were recorded on December 31, 2020 at P12,000,000, net of accumulated depreciation. The sound value was P8,000,000-On December 31, 2020, the share capital is P7,000,000 consisting of 700,000 shares with par value of P10, the share premium is P1,600,000, and the deficit in retained earnings is P900,000-The par value of the share is to be reduced from P10 to P5Immediately after the quasi-reorganization, what is the total shareholders' equity?
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