Accounting 9706 · AS & A Level · Preparation of financial statements

Preparation of financial statements — practice question

A company carries out a bonus issue of shares. What is the correct impact on the statement of financial position?

  • Ashare capital decrease, total assets decrease
  • Bshare capital decrease, total assets no change
  • Cshare capital increase, total assets increase
  • Dshare capital increase, total assets no change

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI