Question
A.The stakeholder' equity section in the balance sheet of Sun Ltd. is as follows: $ Equity Share Capital: Ordinary shares of 50p each 250,000 Reserves:
A.The stakeholder' equity section in the balance sheet of Sun Ltd. is as follows:
$
Equity
Share Capital: Ordinary shares of 50p each
250,000
Reserves: Share premium
250,000
Reserves: Retained Earnings
100,000
600,000
Required:
Show the equity section in Sun Ltd.'s balance sheet after the actions detailed below (both actions are independent of each other):
1.A one for five bonus issue, capitalizing the share premium account.
2.A right issue of one for five at $ 1.2, assuming that all rights are taken up.
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Accounting Principles
Authors: Jerry J. Weygandt, Paul D. Kimmel, Jill E. Mitchell
14th Edition
1119707110, 978-1119707110
