To raise additional finance a company offered its existing shareholders two ordinary shares of 50p each, for

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To raise additional finance a company offered its existing shareholders two ordinary shares of 50p each, for every five held by them, at a discounted price of 80p each. This is known as:

(a) Bonus issue of shares

(b) Share option

(c) Rights issue of shares

(d) Scrip issue of shares

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Financial Accounting An Introduction

ISBN: 9780273737650

2nd Edition

Authors: Mr Barry Elliott, Mr Augustine Benedict

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