Question 1 Emcee Berhad has already issued 6,000,000 ordinary shares at a price of RM1 per share. It has recently been approved to issue an additional 2,000,000 new ordinary shares to the public, at an offer price of RM2.30 per share. Application for a total of 5,000,000 shares was received. (a) Show the necessary journal entries upon completion of the above transaction. (b) Prepare the extract of Statement of Financial Position, showing the equity position of Emcee Berhad after completion of the above transaction.
Question 1 Emcee Berhad has already issued 6,000,000 ordinary shares at a price of RM1 per share. It has recently been approved to issue an additional 2,000,000 new ordinary shares to the public, at an offer price of RM2.30 per share. Application for a total of 5,000,000 shares was received. (a) Show the necessary journal entries upon completion of the above transaction. (b) Prepare the extract of Statement of Financial Position, showing the equity position of Emcee Berhad after completion of the above transaction.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question 1
Emcee Berhad has already issued 6,000,000 ordinary shares at a price of RM1
per share. It has recently been approved to issue an additional 2,000,000 new
ordinary shares to the public, at an offer price of RM2.30 per share. Application
for a total of 5,000,000 shares was received.
(a) Show the necessary
transaction.
(b) Prepare the extract of
position of Emcee Berhad after completion of the above transaction.
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