Rhyn company has granted share options to its employees.  The total compensation expense to the vesting date of December 31, 20D has been calculated at P12,000,000.  The entity has decided to settle the award early on December 31, 20C.  The compensation expense charged since the date of grant on January 1, 20A was P3,000,000 for 20A and P3,150,000 for 20B.  The compensation expense that would have been charged in the year 20C was P3,300,000.  What is the compensation expense for 20C?

On January 1, 20A, Kaye company granted Margie, its president, compensatory share options to buy 15,000 ordinary shares of P10 par value.  The options call for a price of P20 per share and are exercisable in 3 years following the grant date.  Margie exercised the options on December 31, 20A.  The market price of the share was P60 on January 1, 20A, and P70 on December 31, 20A.  The fair value of the share option is P30 on the date of grant.  What is the net increase in shareholders’ equity as a result of the grant and exercise of the share options?

For transactions with employees and others providing similar services, the fair value of the equity instrument granted is measured on

Tyler company’s grant of 60,000 share appreciation rights enables key employees to receive cash equal to the difference between P20 and the market price of the share on the date each right is exercised.  The service period is 20A through 20C, and the rights are exercisable in 20D.  The market price of the share was P25 and P28 on December 31, 20A and 20B, respectively.  What amount should be reported as the liability under the share appreciation rights plan in the December 31, 20B statement of financial position?

An entity acquired some of its own ordinary shares at a price greater than both their par value and original issue price.  The entity uses the cost method of accounting for treasury shares.  What is the impact of this acquisition on total shareholders’ equity and book value per ordinary share, respectively?

The features most frequently associated with preference shares include all of the following, except

Tyler company was organized on January 1, 20A with the following capital structure:10% cumulative preference share capital, par value P10, liquidation value P12, authorized, issued and outstanding, 200,000 shares, P2,000,000.Ordinary share capital, par value P100, authorized, 80,000 shares, issued and outstanding 60,000 shares, P6,000,000.The net income for the year ended December 31, 20A was P12,000,000 and no dividends were declared.What is the December 31, 20A book value per ordinary share?

Arlyn company’s outstanding share capital on December 31, 20C, consisted of the following:60,000 shares of 5% cumulative preference share capital, par value P100, fully participating as to dividends.  No dividends were in arrears on December 31, 20B.400,000 ordinary shares, par value P10.On December 31, 20C, Arlyn declared dividend of P2,000,000.  What is the dividend payable to the ordinary shareholders?

Blessy company had 10,000 ordinary shares of P500 par value outstanding and 1,000 preference shares of P1,000 par value outstanding.  The current market price of the ordinary share is P1,200 and the total equity amounts to 7,200,000.  The preference shareholders have a liquidation preference of P1,400 per share and no dividends are in arrears.  What is the book value per ordinary share?

Candice company is an entity listed on a recognized stock exchange.  The entity’s financial statements for the year ended December 31, 20B showed basic earnings per share of P85.  On July 1, 20C, Candice made a 3 for 1 bonus issue.  What figure for the 20B earnings per share will be shown as comparative information in the financial statements for the year ended December 31, 20C?

During 20B, Inna company had outstanding 400,000 ordinary shares and 40,000 shares of cumulative preference share capital with a P10 per share dividends.  Each preference share is convertible into five ordinary shares.  Inna had a P6,000,000 net loss for 20B.  No dividends were paid or declared.  What si the amount of basic loss per share?

Daisy company had 300,000 ordinary shares of P20 par value and 30,000 shares of P100 par, 6% cumulative, convertible preference share capital outstanding for the entire year ended December 31, 20B.  Each preference share is convertible into 5 ordinary shares.  The net income for 20B was P1,260,000.  For the year ended December 31, 20B, what amount should be reported as diluted earnings per share?

Earnings per share is calculated before accounting for which of the following items?

When there are two dilutive convertible securities, the one that should be used first to   recalculate earnings per share is the security with the