At 31 December 20X8 the capital structure of Pilot Ltd was as follows: (1) 200,000 ordinary shares of £0.50 each 100,000; (2) Share premium account £360,000During 20X9, the company made a 1 for 2 bonus issue, using the share premium account for the purpose, and later issued for cash another 120,000 shares at £1.60 per share. Calculate the balances on the company’s share capital and premium accounts as at 31 December 20X9.
At 31 December 20X8 the capital structure of Pilot Ltd was as follows: (1) 200,000 ordinary shares of £0.50 each 100,000; (2) Share premium account £360,000During 20X9, the company made a 1 for 2 bonus issue, using the share premium account for the purpose, and later issued for cash another 120,000 shares at £1.60 per share. Calculate the balances on the company’s share capital and premium accounts as at 31 December 20X9.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
At 31 December 20X8 the capital structure of Pilot Ltd was as follows: (1) 200,000 ordinary shares of £0.50 each 100,000; (2) Share premium account £360,000During 20X9, the company made a 1 for 2 bonus issue, using the share premium account for the purpose, and later issued for cash another 120,000 shares at £1.60 per share. Calculate the balances on the company’s share capital and premium accounts as at 31 December 20X9.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education