How should the excess of subscription price over the value of ordinary shares subscribed be recorded as additional paid-in capital when the share capital is issued as additional paid-in capital when the subscription is received as additional paid-in capital when the subscription is collected as retained earnings when the subscription is received

How should the excess of subscription price over the value of ordinary shares subscribed be recorded as additional paid-in capital when the share capital is issued as additional paid-in capital when the subscription is received as additional paid-in capital when the subscription is collected as retained earnings when the subscription is received

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

Which of the following is true of a stock dividend?A. It is a liability.B. The decision to issue a stock dividend resides with shareholders.C. It does not affect total equity but transfers amounts between equity components.D. It creates a cash reserve for shareholders.
The excess of original issuance price over the retirement cost is * O Debited to retained earnings Credited to Share Premium - Retirement Debited to Share Premium - Treasury Shares and then Retained earnings O None of the above
The maximum amount beyond which a company is not allowed to raise funds by issue of share is: Issued Capital Reserve Capital Nominal Capital Subscribed Capital
Contributed capital does not include a. Preference shares b. Share premium on preference shares c. Capital accumulated by retention of earnings d. Ordinary shares
When calculating book value per share of common stock, do you also subtract additional paid in capital of preferred stock?
Which of the following is included in the Reserves? Preference Share Capital Subscribed Ordinary Share Capital Revaluation Surplus Subscription Receivable
How should the excess of the issue price over the par value of the preference shares subscribed be recorded? Select the correct response: as Share Premium when the subscription is collected as a Revenue when the subscription price is collected as Retained Earnings when the subscription is received as Share Premium when the subscription is received
What is a stock repurchase? Describe the procedures a company follows when it makes adistribution through a stock repurchase.
Which of the following is shown on a statement of cash flows? A share dividend A share split An appropriation of retained earnings None of these answer choices are correct
Which of the following may qualify as cash equivalents? O Investment in preference shares acquired within a short period of their maturity and with a specified redemption date O None of these O Investment in share options O Investment in ordinary shares
Under the capital maintenance concept, which of the following items should be deducted from the increase or decrease in capital? a. Losses on hedging instruments in a cash flow hedge. b. Increase in revaluation surplus. c. Actuarial loss on remeasurement on defined benefit liability. d. Reacquisition of treasury shares.
IWhich of the following transactions does not involve a cash flow? * O Dividend received O Issue of share capital O issue of share dividends O Prepayment of rent