Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

90598 on 2 Zamzan Khamis Nasser Alghatheni Not yet Marked out of 2.00 Flag question Al Bayan company's profit after tax for the year 31st

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
90598 on 2 Zamzan Khamis Nasser Alghatheni Not yet Marked out of 2.00 Flag question Al Bayan company's profit after tax for the year 31st December 2018 was RO 500,000. The comparative figure for the year 31st December 2017 was RO 100,000. The company's issued share capital on 1st January 2016 consisted of 20,000 ordinary shares. No shares were issued during the year 2017 but a 1 for 5 rights issue was made on a July 2018 at RO 0.700 per share and this was fully subscribed. The market value of the company's shares just before the rights issue was RO 1.700 per share. a Calculate the total market value of shares OMR 2,800 OMR 34,000 OMR 36,800 None of the listed choices b. Calculate the theoretical Ex-Rights price. None of the listed choices OMR 2.0 per share OMR 1.0 per share OMR 1.53 per shar Zamzam Khamis Nasser Alghasheri dion 12 yet wered Al Fathma LLC manufactures a line of equipment that it sells to wholesalers. The company sold 3,000 items of this type this year, which also has a one-year guarantee if the equipment fails. Based on experience, 25% of the items sold are returned for repairs. ked out of . lag question Minor defects - 35% of the items returned can be repaired at a cost of OMR 120. Major defects - 65% of the items need significant repair at a cost of OMR 150. a. What should be the amount of provisions to be made in case of minor defects? None of the listed choices OMR 73,125 OMR 306,000 OMR 31,500 OMR 180,000 None of the listed choices OMR 126,000 OMR 306,000 provisions to be made in case of major defects? b. What should be the amount of provisions to be made in case of major defects? None of the listed choices OMR 73,125 OMR 306,000 OMR 31,500 OMR 180,000 None of the listed choices OMR 126,000 OMR 306,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing And Other Assurance Services

Authors: Alvin Arens, James Loebbecke, W Lemon, Ingrid Splettstoesser

9th Canadian Edition

0130091243, 978-0130091246

More Books

Students also viewed these Accounting questions

Question

How can we use language to enhance skill in perceiving?

Answered: 1 week ago