Scribd Logo
Upload

Welcome to Scribd!

  • 18 views

    Advance Accounting Test

    Uploaded by

    Kashif
    The company has authorized capital of 30,000 shares of Rs 100 each totaling Rs 30,00,000. It has issued and fully paid 20,000 shares of Rs 100 each totaling Rs 20,00,000. The company has a reserve fund of Rs 12,00,000 and a profit and loss account of Rs 700,000. The board of directors has recommended issuing bonus shares in a 2:5 ratio from the profit and loss account and reserve fund equally, and right shares in a 3:4 ratio that are not entitled to the bonus shares.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Advance Accounting Test

    Uploaded by

    Kashif
    18 views1 page
    The company has authorized capital of 30,000 shares of Rs 100 each totaling Rs 30,00,000. It has issued and fully paid 20,000 shares of Rs 100 each totaling Rs 20,00,000. The company has a reserve fund of Rs 12,00,000 and a profit and loss account of Rs 700,000. The board of directors has recommended issuing bonus shares in a 2:5 ratio from the profit and loss account and reserve fund equally, and right shares in a 3:4 ratio that are not entitled to the bonus shares.

    Original Title

    Advance accounting test.docx

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The company has authorized capital of 30,000 shares of Rs 100 each totaling Rs 30,00,000. It has issued and fully paid 20,000 shares of Rs 100 each totaling Rs 20,00,000. The company has a reserve fund of Rs 12,00,000 and a profit and loss account of Rs 700,000. The board of directors has recommended issuing bonus shares in a 2:5 ratio from the profit and loss account and reserve fund equally, and right shares in a 3:4 ratio that are not entitled to the bonus shares.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    18 views1 page

    Advance Accounting Test

    Uploaded by

    Kashif
    The company has authorized capital of 30,000 shares of Rs 100 each totaling Rs 30,00,000. It has issued and fully paid 20,000 shares of Rs 100 each totaling Rs 20,00,000. The company has a reserve fund of Rs 12,00,000 and a profit and loss account of Rs 700,000. The board of directors has recommended issuing bonus shares in a 2:5 ratio from the profit and loss account and reserve fund equally, and right shares in a 3:4 ratio that are not entitled to the bonus shares.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    You are on page 1of 1

    Q.

    1 Make Necessary journal Entries and show Balance Sheet


    Authorized Capital :
    30,000 Ordinary Shares of Rs 100 each 30,00,000
    Issued subscribed capital & paid up capital:

    20,000 shares of Rs 100 each 20,00,000


    Reserve Fund 12,00,000
    P & Loss Account 700,000

    Board of Director recommended :


    1. To issue bonus shares in the ratio of two bonus shares for every five ordinary shares Held.
    2. To issue right shares in the ratio of three right shares for every four ordinary shares .The right
    shares will not be entitled for above bonus shares. For the purpose of issue of bonus shares, the
    funds were to be provided out of profit & loss Account and reserve fund in equal proportion.

    You might also like