Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please solve it ASAP with all requirements 2. At 31 December 2020 a companys capital structure was as follows: Ordinary share capital consisting of shares

Please solve it ASAP with all requirements

2. At 31 December 2020 a companys capital structure was as follows:

  • Ordinary share capital consisting of shares with face value of RO 0.500 each - RO 5,000,000
  • Share Premium RO300,000
  • Revaluation Reserve RO 160,000
  • Capital Reserve RO 80,000
  • Retained Profits RO 1,200,000

The company came up with a right issue in Jan 2021 in the ratio of 2:10 at an issue price of OMR 4, whereas the market value of shares is OMR 6.000. 20% of shareholders have rejected this offer.

In June, 2021 the company declared a bonus issue in the ratio of 1:5.

Journalize the following transactions and show the working along with the abstract of SOFP only the equity part. Also calculate the theoretical ex right price.

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

Students also viewed these Accounting questions

Question

8. Explain the contact hypothesis.

Answered: 1 week ago

Question

7. Identify four antecedents that influence intercultural contact.

Answered: 1 week ago