Ask Question, Ask an Expert


Ask Financial Accounting Expert

problem1. The following given information is available from a corporation:
                                           2003          2004                                    2003         2004
Share capital                        70,000         74,000              Cash           9,000          7,800
Debentures                          12,000         6,000                Debtors      14,900         17,700
Reserve for doubtful debts       700           800                   Stock          49,200         42,700
Trade creditors                    10,360        11,840                Land           20,000         30,000
P/L a/c                              10,040        10,560               Goodwill        10,000          5,000

                                       103,100       103,200                                       103,100


Extra information:

i) Dividend paid totalled to cash. 3,500.

ii) Land was purchased for cash. 10,000.

iii) An amount provided for amortisation of goodwill was cash 5, 000.

iv) Debentures paid off amounted to cash. 6,000.

Required; make cash flow statement from the above.

problem2. A company has an authorized share capital of 250 million divided in 1,500,000 ordinary shares of sh.100 each and 1,000,000preference shares of sh.100 each. 1,000,000 ordinary shares were offered for subscription at sh.150 each payable as shown below: on application sh.40, on allotment sh.70 (comprising premium), on first call sh.30, on final call sh.10.

Applications were received for 1,500,000 shares. The management refused application for 100,000 shares for that they returned the money.
The successful applicants were issued with 5 shares for every 7 applied for and the balance of the application money was transferred to allotment.

The first call was made in November and the amounts received except for 50,000 shares.

The amount because of final call was also received except for 100,000 shares.

It was resolved that the shares be forfeited and be re-issued to Mr. Rich for sh. 60.

Required: Journal entries to record the above.

Financial Accounting, Accounting

  • Category:- Financial Accounting
  • Reference No.:- M9551

Have any Question? 

Related Questions in Financial Accounting

Assignment reorganizations and consolidated tax

Assignment: Reorganizations and Consolidated Tax Returns Suppose you are a CPA, and you have a corporate client that has been operating for several years. The company is considering expansion through reorganizations. The ...

Assignment business accounting and youthe goal of this

Assignment: Business, Accounting, and You The goal of this graded project is to create the following financial statements for J & L Accounting, Inc.: Balance sheet Income statement Statement of retained earnings Post-clo ...

Describe corporate espionagedefine at least three ways to

Describe Corporate Espionage. Define at least three ways to prevent it. Your paper should meet the following requirements: Be two to three pages in length

Part 1 please respond the following question no less then

PART 1 PLEASE RESPOND THE FOLLOWING QUESTION NO LESS THEN 350 WORDS (ORIGINAL WORK, NO PLAGIARISM, 1 Reference Part 1 of our week discussion questions require us to discuss Profitability. Please watch this Youtube lectur ...

Key assignment draftthe owners of the car wash have asked

Key Assignment Draft The owners of The Car Wash have asked you to prepare their tax return. Their financial statements are audited by a local certified public accountant (CPA) firm, and they have provided them to you as ...

Consider four different stocks all of which have a required

Consider four different stocks, all of which have a required return of 18.5 percent and a most recent dividend of $3.65 per share. Stocks W, X, and Y are expected to maintain constant growth rates in dividends for the fo ...

Assignmentpart one working capital analysiscapers inc has

Assignment Part One: Working Capital Analysis Capers, Inc. has just promoted you to Chief financial officer. Since this is a new office in the company, you are understaffed and many of the responsibilities have been assi ...

Assignmentcomprehensive problem differential

Assignment Comprehensive Problem: Differential Apportionment Mortar Corporation acquired 80 percent ownership of Granite Company on January 1, 20x7, for $173,000. At that date, the fair value of the non-controlling inter ...

Assignmentcost-volume-profit relationshipsread chapter 4 of

Assignment Cost-Volume-Profit Relationships Read Chapter 4 of your text. Refer to the review problem on pages 144 - 146. Pear Computer Corporation produces memory boards for PCs. Sales have been erratic, with some months ...

Assessmentbullnote some of the assessments in this course

Assessment • Note: Some of the assessments in this course build upon each other, so you are strongly encouraged to complete them in the order in which they are presented. For this assessment, complete Problems 1 and 2. Y ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro