Accounting

SHARE CAPITAL 1. What impact does the grant have coitus of shares have on the equity of a federation? wherefore? (1 Mark) 2. Define a share option? (1 Mark) 3. Provide maven reason wherefore a order would wish to obtain back its feature shares? (1 Mark) 4. Distinguish between a renounceable and non-renounceable rights yield? (1 Mark) 5. What is a closed-door placement of shares? (1 mark) 6. Name two reasons wherefore a company could make an appropriation of its carry lucre? (1 Mark) 7. form ledger entries to commemorate the following unrelated minutes of a customary company: (3 Marks) a) payment of interim dividend of $50,000 b) imparting of $50,000 from the general coyness to retained earnings c) payment of 100,000 bonus shares fully paid at $2 per share from retained earnings. 8. The equity of Master exile Ltd on 30 June 2009 consi sted of: 280,000 intermediate shares, issued at $2.40 each(prenominal), citeed to $2.40$672,000 Calls in arrears (24,000 shares x 80c)($19,200) The directors forgo the shares on which the call was outstanding.

The companys character provides that forfeited shares cannot be reissued and that the correspondence of any forfeited amounts, remuneration of reissue costs, must be refunded to the former shareholders. Refund cheques were direct to shareholders. Prepare journal entries to go into a) forfeiture of shares b) refund of forfeited amounts to shareholders.(2 Marks) 9. Prepare journal entries to record the following related transaction s of a public company. (3 marks) ! a) The company issued 40,000 options at 50 cents each to acquire shares at $5 each in this company b) The holders of 36,000 options consequently exercised their rights to acquire shares in the company. c) For the options not exercised, the company transfers the option balance to an options reserve account. 10. Prepare journal entries to record the a) initial issue of 100...If you want to run short a full essay, order it on our website: OrderEssay.net

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