Rosemary Ltd is a listed company and, until 1 October 2015, it had no subsidiaries. On that date, it acquired 75% of Hibiscus Ltd equity shares by means of a share exchange of two new shares in Rosemary Ltd for every five acquired shares in Hibiscus Ltd. These shares were recorded at the market price on the day of the acquisition and were the only shares issued by Rosemary Ltd during the year ended 31 March 2016.

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Answer Equity shares are longterm financing sources for any company These shares are issued to the g... View the full answer