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thanks 6. (a) Beta Ltd. having share capital of 20,000 equity shares of 10 each decides to issue rights share at the ratio of 1

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6. (a) Beta Ltd. having share capital of 20,000 equity shares of 10 each decides to issue rights share at the ratio of 1 for every 8 shares held at par value. Assuming all the share holders accepted the rights issue and all money was duly received, pass journal entry in the books of the company. (b) Omega Ltd. offers new shares of 100 each at 25% premium to existing shareholders on the basis one for five shares. The cum-right market price of a share is 3200. You are required to calculate the (1) Ex-right value of a share; (ii) Value of a right share

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