As at 1 January 2011, commencement of an accounting period, Olive plc had a balance of 300,000
Question:
As at 1 January 2011, commencement of an accounting period, Olive plc had a balance of £300,000 in its Share capital account and £45,000 in its share premium account. The shares in issue were ordinary shares of £1 each. The following share issues were made during the year:
On 1 March 2011: a bonus issue of one for every 15 shares
On 1 May 2011: a rights issue of one for every four shares at 120p each
On 1 June 2011: a cash issue of 200,000 ordinary shares of £1 each at 180p each
Required:
Show how these transactions will be reported on the Statement of financial position as at 31 December 2011.
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Related Book For
Financial Accounting An Introduction
ISBN: 9780273737650
2nd Edition
Authors: Mr Barry Elliott, Mr Augustine Benedict
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