XYZ Ltd issues 500000 new ordinary Rs 1 shares at an issue price of Rs 1.50...

 

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XYZ Ltd issues 500000 new ordinary Rs 1 shares at an issue price of Rs 1.50 and makes a bonus Issue of new shares amounting to 50000 Rs 1 ordinary shares. The company also increases its authorized ordinary share capital by 550000 Rs 1 ordinary shares. By how much will the balance sheet ordinary share capital account increase? A B C D Rs 800 000 Rs 550 000 Rs 750 000 Rs 350 000 XYZ Ltd issues 500000 new ordinary Rs 1 shares at an issue price of Rs 1.50 and makes a bonus Issue of new shares amounting to 50000 Rs 1 ordinary shares. The company also increases its authorized ordinary share capital by 550000 Rs 1 ordinary shares. By how much will the balance sheet ordinary share capital account increase? A B C D Rs 800 000 Rs 550 000 Rs 750 000 Rs 350 000

Answer rating: 100% (QA)

Correct option is B i The maximum amount of share capital a company is allowed to raise is c... View the full answer