Problem 2 According to its Articles of Incorporation, ABC PLC has the right to raise 15 million shares having a face value of $1 each during its lifetime. The Corporation's balance sheet shows a share capital of 2 million ordinary shares on 31 Dec 2018 having a face value of $1 each It had cash worth s0 6 million and other assets to the value of 1.8 million. Liabilities were valued at 0.4 million Suppose On 1 Jan 2019, the corporation issued 1 million ordinary shares having face value of $1 each at an issue price of $1.5 per share As per the terms of the issue, $1.25 per share had been received by the corporation by 10 Jan 2019 while the remaining amount was received in full on 30 June 2019. The corporation received 100 % subscription on its share issue As on 10 Jan 2019 What is the issued capital of the corporation? a) What is the subscribed capital of the corporation? b) What is the paid-up share capital of the corporation? c) What is the amount in its share premium account? d) As on 30 June 2019 Has the issue been oversubscribed or undersubscnbed? What is the paid-up share capital of the corporation? n g) What is the amount in its share premium account? h) How much cash does the corporation hold on 30 june 2019? Show the journal entries on 10 Jan 2019 and 30 June 2019 i) DShow the changes in the balance sheet on 10 Jan 2019 and 30 June 2019 JOURNAL ENTRIES Debit/Credit Account Amount Date 10 Jan 2019 30 June 2019 CHANGES IN THE BALANCE SHEET 10th Jan 2019 30th June 2019 31st Dec 2018 Assets: Cash Other assets Total Assets Liabilities: Total liabilities Shareholders' Equity: Share capital Additional paid in capital Total Shareholders' equity Balance sheet total