Ltd offered for issue ten million ordinary shares of R1 each at 120 cent per share. Applications were received, however, for only eight million shares and the directors proceeded to allot the shares applied for. Expenses of the issue amounted to R3 000. X Ltd availed itself of Act 71 of the Companies Act, 2008. What will be the balance in the Share premium account, after these transactions are accounted for?
Ltd offered for issue ten million ordinary shares of R1 each at 120 cent per share. Applications were received, however, for only eight million shares and the directors proceeded to allot the shares applied for. Expenses of the issue amounted to R3 000. X Ltd availed itself of Act 71 of the Companies Act, 2008. What will be the balance in the Share premium account, after these transactions are accounted for?
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
Chapter15: Contributed Capital
Section: Chapter Questions
Problem 4RE: Sun Corporation issues 500 shares of 8 par common stock for a patent. The stock is currently selling...
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X Ltd offered for issue ten million ordinary shares of R1 each at 120 cent per share. Applications were received, however, for only eight million shares and the directors proceeded to allot the shares applied for. Expenses of the issue amounted to R3 000. X Ltd availed itself of Act 71 of the Companies Act, 2008. What will be the balance in the Share premium account, after these transactions are accounted for?
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