CIMA Exam CIMAPRA17-BA3-1 Topic 1 Question 21 Discussion

Actual exam question for CIMA's CIMAPRA17-BA3-1 exam

Question #: 21
Topic #: 1

On 31 December 20X6 GHI makes a bonus issue of 50,000 shares On this dale the nominal value of the shares is $1 and the market value is $3 GHI has a share premium account with a substantial credit balance. The share capital account is credited correctly in the nominal ledger. Which of the following statements is TRUE?

AThe bonus issue is valued at $3 per share and the debit entry is to the cash account

BThe bonus issue is valued at $1 per share and the debit entry is to the share premium account

CThe bonus issue is valued at $1 per share and the debit entry is to the cash account

DThe bonus issue is valued at $3 per share and the debit entry is to the share premium account

Show Suggested Answer

Suggested Answer: B

by Lavonna at May 09, 2022, 04:00 PM

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tachy_22

3 years ago

Right Answers: AD - Study Guide - Endpoint Compliance - Monitors: Agent Persitent + Custom Scan

upvoted 1 times

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