Accounting 9706 · AS & A Level · The accounting system

The accounting system — practice question

Before the following transactions, the bank balance of a limited company was $390\,000$: 1. 500,000 new shares of $0.50$ each were issued at a premium of $0.25$ per share. 2. A debenture of $100\,000$ was repaid. 3. A bonus issue involving $100\,000$ shares of $0.50$ each was made. What was the balance in the bank after all these transactions?

  • A$540\,000
  • B$665\,000
  • C$715\,000
  • D$865\,000

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