At 31 December, at the close of year 1, the company’s trial balance showed these figures: - ordinary share capital ($\$0.50$ shares) of $\$800\,000$ - share premium of $\$200\,000$ - retained earnings of $\$1\,000\,000$ On 1 January in year 2, the company carried out a rights issue of $400\,000$ shares at a premium of $\$0.70$ per share. All of the issue was subscribed. On 1 July in year 2, the company issued bonus shares at the rate of one new share for every four held. The policy is to keep reserves in their most flexible form possible. What balance remains in the share premium account after these transactions?
- A$\$230\,000$
- B$\$330\,000$
- C$\$355\,000$
- D$\$480\,000$