1.1 Integrated Ltd purchased 69500 shares in a company listed on the JSE. The shares acquired on 1 June 2018, were acquired when the share price was R3.40 per share. Integrated had to pay brokers commission of 2% for this transaction. At the end of year-end date, the share price was R3.70 per share. Integrated has elected to measure the shares at the fair value through profit or loss. Required: Explain the accounting treatment of the shares in the financial statements for the year ended 31 December 2018. Include the calculations. Round to the nearest Rand

1.2 Gina Limited is newly incorporated company with 100 000 authorised ordinary share with no par value.

i. Legal costs (start-up / preliminary cost) of R10 000 were paid on 2 March 2014.

ii. The company has 4 directors, each of whom bought, for cash, 2000 ordinary shares at the initial issue price of R10 per share. This issue took place on 4 March 2014 and resulted in shares issues of R1000.

iii. On 1 April 2014, the directors published a prospectus with an invitation to the public to apply for shares in the company. This invitation offered 50 000 ordinary share at R12 per share and expired on 31 May 2014. Applications for 75 000 ordinary shares had been received by 31 May 2014. The full value per share application was received into a trust fund which was then transferred to the company on 3 June 2014.

iv. After the due consideration, the board of directors decided to limit the allotment to the original offer of R50 000 shares and refunded the surplus cash received. The allotment and refund took place on 5 June 2014. Share issue costs totalling R6 000 were paid on the same date.

v. The profit for the year ended 28 February 2015 has been correctly calculated as R100 000. Required:

a) Prepare the journal entries relating to the share transactions for the year ended 28 February 2015.

b) Prepare the statement of the changes in equity of Gina Limited for the year ended 28 February 2015.