ontributed capital does not include a. Preference shares b. Share premium on preference shares c. Capital accumulated by retention of earnings d. Ordinary shares
Q: What is the accounting for treasury share transactions? a. On repurchase or re-issuance of…
A: Hi since you have asked a question with multiple questions we are solving the 1st question for you.…
Q: A stock splita. has no effect on total stockholders’ equity.b. increases assets and stockholders’…
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Q: When preference share is cumulative, preferred dividends not declared in a period are a. never paid…
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Q: appear under the heading capital and reserves in a company balance sheet? A. Ordinary share…
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Q: Which of the following statement is false in regards to Share premium? a. It will be shown under…
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Q: When common stock is issued at an amount greater than par value, the difference between the par…
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Q: A share capital entitled to receive dividends in arrears * Choices; Treasury share capital…
A: Treasury share capital are those shares which have been bought back by the company for cancellation.
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A: Dividend refers to the amount of profit that is distributed by the company to its shareholders.
Q: Which one or more of the following would you not include within the heading Equity and Reserves in a…
A: Equity and reserves that are shown under statement of financial position means all amount…
Q: hen treasury stock is sold for less than its cost, the entry should include a debit toa. Gain on…
A: When treasury stock is sold for less than its cost, then amount of cash received is debited, cost of…
Q: Which of the following may not affect retained earnings or earned capital? Correction of prior…
A: The question is related to retained earnings. The retained earnings will be affected by Profit or…
Q: Which of the following may not affect retained earnings or earned capital? O Correction of prior…
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Q: Share dividends, share splits and recapitalization do not affect composition of equity total…
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Q: Dividends in arrears on cumulative preference share a. are considered to be a non-current liability…
A: Solution: Dividends in arrears on cumulative preference share "Should be disclosed in the notes to…
Q: The purchase of treasury share does not affect Group of answer choices total assets. the amount of…
A: The treasury stock includes the shares that are repurchased from the shareholders of the business.
Q: The cost of dividend payable on redeemable preference shares should be included in______. Select…
A: Redeemable preference shares are those preference shares that will be repaid or redeemed after some…
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A: Dividend means the amount given to shareholder of the company as profit distribution by…
Q: purchase of shares
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Q: Which of the following does not appear under the heading: Capital and reserves in a company balance…
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Q: Which one of the following statements about ordinary equity is correct? a. Shareholders have a…
A: Ordinary or equity shares are the most frequent type of stock issued by a public firm to obtain…
Q: remium on issue of shares is a revenue expenditure
A: Premium on issue of shares is not a revenue expenditure.
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A: We know that dividend is the distribution of profits of the entity in the form of new shares to the…
Q: Sale of treasury shares at less than cost shall be charged to * a. Loss on sale of treasury…
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Q: The issuance of preference shares A. Increases preference shares outstanding. B. Has no effect on…
A: Preferred stock: Preferred stock is the cash raised by the company by issuing preferred shares. This…
Q: The cost of retained earnings is less than the cost of ordinary shares because of *
A: Issuance cost: This is incremental cost directly associated with issue of ordinary shares. This cost…
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A: Assets means all the resources of the business, whether these are tangible or intangible assets.…
Q: Treasury shares are accounted for using the Fair value method O Cost method a or b neither a nor b
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: ow will retained earnings be affected by purchase of treasury shares and subsequent sale of treasury…
A: Treasury shares means the share which has been buy back by the company . It will be shown as…
Q: How would a share split affect the amount of total share capital, total shareholder's equity and…
A: Only effect that share split has is on the components of the common stock. Rest stays unaffected.…
Q: Which of the following statements is incorrect?
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Q: Which of the following would NOT be reported for capital stock in the contributed capital section of…
A: Balance Sheet contains: Assets account Liabilities account Shareholder's account
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A: dividend are paid by the company to its shareholders.both the shareholder whether it is common stock…
Q: Gain on sale of treasury shares should be credited to: * A. Share Premium from treasury shares…
A: Gain on sale of treasury shares is credited to a specific account for gain.
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- Dividends in arrears on preference shares are reported in the financial statements as a (an) a. liabilityb. reduction from Retained Earningsc. reduction from Retained Earningsd. expenseWhich of the following does not affect accumulated profits? A. Stock dividendB. Share splitC. Conversion of preference share to ordinary shareD. Treasury share transactionAccounting type Question: Bonus shares cannot be issued out of: A. Profit and Loss a/c B. Capital Redemption reserve C. General reserve D. Dividend equalisation fund
- Share capitalization referes to the issue of shares to new shareholders in lieu of dividend. OA. True OB. FalseIf shares are issued for a non-cash asset, the share should be recorded at? a. Zero b. Fair market value c. Par or stated value d. CostDividends declared on redeemable preference shares are recognized O By a debit to retained earnings O By a credit to retained earnings O In a profit or loss In other comprehensive income
- S1: The conversion of preference share capital into ordinary share capital increases the total shareholders' equity. S2: The Donated Capital account is shown as part of share premium of the reserves section of the shareholders' equity. a. Only S1 is correct b. Only S2 is correct c. Both statements are correct d. Both statements are incorrect.The Share Premium-Ordinary account represents the amount of legal capital. is reported as part of equity on the statement of financial position. is credited when a no-par share does not have a stated value. normally has a debit balance. OOOThe purchase of treasury share does not affect Group of answer choices total assets. the amount of share outstanding. total shareholders’ equity. the amount of share issued.
- In computing basic earnings per share (EPS), the amount of preference dividends on noncumulative preference shares should be:A. deducted from net income whether declared or notB. deducted from net income only when declaredC. added to net income only when declaredD. ignoredThe issuance of preference shares A. Increases preference shares outstanding.B. Has no effect on preference shares outstanding.C. Increases authorized preference share capitalD. Decreases authorized preference share capitalWhich of the following is not a method that may be used to account for treasury shares?a. Cost methodb. Par value methodc. Retained earnings methodd. Constructive retirement methodC