Larry Limited has 4,000,000 ordinary sha...
Larry Limited has 4,000,000 ordinary shares of 50k each and 150,000 5% prefrence shares of ₦1 each fully paid.
₦ |
|
Net profit for the year |
90,000 |
Interim dividends paid: |
|
Ordinary shares |
25,000 |
Profit and loss appropriation b/f |
10,000 |
Goodwill written off |
1,000 |
The amount of preference shares dividends payable at the end of the year is
₦10,000
₦25,000
₦7,500
₦20,000
Correct answer is C
Preference shares dividends are calculated based on the nominal value of the preference shares and the fixed dividend rate. In this case, Larry Limited has 150,000 preference shares of ₦1 each, and the dividend rate is 5%. Therefore, the preference shares dividends payable at the end of the year is 150,000 * 1 * 5% = ₦7,500.
The understatement of closing value of work-in-process would have the effect of? ...
\(\begin{array}{c|c} & & ₦ \\ \hline \text{capital accounts:} & Ojo & 40,000 \\ &a...
BALANCE SHEET AS AT 31st DECEMBER, 2010 \(\begin{array}{c|c} & ₦ & & ₦ \\ \hline \te...
Use the information below to answer this question. \(\begin{array}{c|c} \hline & \text{Dept A...
Discount received account is a ...
Partners' share of profit is credited to? ...
The following transactions relate to Osei Enterprises for the year ended 31st December 2020. ...