Page 67 - Ebook Financial Accounting 3
P. 67
ANSWER SCHEME
QUESTION 3.1
Journal Entries DEBIT CREDIT
RM RM
9% Redeemable preference shares 60,000
Preference share redemption account 60,000
(Being redemption of the preference shares)
Preference share redemption account 60,000
Bank 60,000
(Being amount paid to the 9% redeemable preference
shareholders
Bank 60,000
Ordinary share 60,000
(Being ordinary shares issued )
Awana Bhd.
Statement of Financial Position as at 31 December 2020
RM
Non-current assets 100,000
Current assets 50,000
Bank 80,000
230,000
Issued and fully paid-up capital
100,000 ordinary shares of RM1 each 160,000
Retained earnings 70,000
230,000
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