TUTORIAL 2 2.7 Lynda Bhd's issued share capital consisted of 45,000,000 ordinary shares paid up to RM1 each. The directors decided to take the company private and purchased 2,000,000 of its ordinary shares from the open market at a price of RM1.50 each on 31 December x8. Brokerage fees and commission amounted to RM30,000. The retained profits as on that date was RM24,000,000. Lynda Bhd decided to retain the shares purchased as treasury shares. Required: Show the journal entries to effect the above transaction and prepare an extract from the statement of financial position after the purchase is completed. 2.8 Using the information given in Question 2.7, assume that Lynda Bhd decided to cancel the shares purchased back. Required: Show the journal entries to effect the above transaction and prepare an extract from the statement of financial position after the purchase is completed. 2.9 Using the information given in Question 2.7, assume that Lynda Bhd distributed the shared bought back as bonus shares. Required: Show the journal entries to effect the above transaction and prepare an extract from the statement of financial position after the purchase is completed.