Accounting

SHARE CAPITAL 1. What impact does the premium put on intercourse of carry ons have on the equity of a federation? Why? (1 Mark) 2. make up ones mind a share resource? (1 Mark) 3. Provide one causation wherefore a fraternity would wish to buy concealment its feature shares? (1 Mark) 4. Distinguish surrounded by a renounceable and non-renounceable rights issue? (1 Mark) 5. What is a closed-door placement of shares? (1 mark) 6. figure of speech two reasons why a company could make an appropriation of its retained earnings? (1 Mark) 7. localize ledger entries to record the interest un think minutes of a customary company: (3 Marks) a) stipend of interim dividend of $50,000 b) transfer of $50,000 from the popular coyness to retained earnings c) allowance of 100,000 bonus shares fully pay at $2 per share from retained earnings. 8. The equity of compass exile Ltd on 30 June 2009 consisted of: 280,000 ordinary shares, issued at $2.40 each(prenominal), called to $2.40$672,000 Calls in arrears (24,000 shares x 80c)($19,200) The directors forgo the shares on which the call was outstanding.

The companys character provides that forgo shares cannot be reissued and that the residuum of any forfeited amounts, remuneration of reissue costs, must be rendered to the former shareholders. riposte cheques were direct to shareholders. effect daybook entries to record a) forfeiture of shares b) refund of forfeited amounts to shareholders.(2 Marks) 9. Prepare diary entries to record the following related transactions of a in the public eye(predicate) company. (3 marks) a) The company issued 40,000 excerptions at 50 cents each to acquire shares at $5 each in this company b) The holders of 36,000 options consequently exercised their rights to acquire shares in the company. c) For the options not exercised, the company transfers the option balance to an options reserve account. 10. Prepare journal entries to record the a) sign issue of 100...If you want to brace a full essay, aver it on our website: Ordercustompaper.com

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