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F7 paper for June 2013 Question 2

Forums › ACCA Forums › ACCA FR Financial Reporting Forums › F7 paper for June 2013 Question 2

  • This topic has 0 replies, 1 voice, and was last updated 10 years ago by Lau.
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  • August 17, 2015 at 6:20 am #267465
    Lau
    Member
    • Topics: 19
    • Replies: 14
    • ☆

    For change of equity, according to the answer by ACCA, the right issue of 20million shares(50,000/50 cents each *1/5) at $1.2 has been recorded as S$10 million equity shares (20 million *$0.50) and $14 million premium (20million *($1.20-$0.50))

    I do not know how do I get the 20million shares, where do we get 1/5?

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