First Point Ltd commences operations by issuing 1 million shares at a price of $1.40 per share, payable in full on application. Application monies are received on 31 July 2023 and the shares are allotted on 4 August 2023. The share issue is made as a result of an offer being made to the public. Provide the journal entries to account for the receipt of the application monies and the subsequent allotment of the shares.

First Point Ltd commences operations by issuing 1 million shares at a price of $1.40 per share, payable in full on application. Application monies are received on 31 July 2023 and the shares are allotted on 4 August 2023. The share issue is made as a result of an offer being made to the public. Provide the journal entries to account for the receipt of the application monies and the subsequent allotment of the shares.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter16: Retained Earnings And Earnings Per Share

Section: Chapter Questions

Problem 3RE

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