A-LevelAccountingPreparation of financial statements9706/12 · May/June 2021 · Q151 Mark

Which statements apply when a bonus issue of ordinary shares is made by a company? 1 It will be made to existing shareholders. 2 The issue can be at a premium. 3 They can be issued at lower than market price.

A1 and 2

B1 only

C2 and 3

D3 only

✓ Correct answer

B: 1 only

Practise more questions on this topic

Oracle Prep sorts past-paper questions by topic, so you can drill Preparation of financial statements and see which topics are most likely to come up next.

About this question

Topic: Preparation of financial statements, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, May/June 2021 Paper 1 Variant 2, question 15.

Questions and mark schemes are from past examination papers and remain the copyright of the exam board. How Oracle Prep builds its content

Related Accounting questions

Preparation of financial statementsFeb/Mar 20161m

A business maintains a provision for doubtful debts of 5% per annum. It has trade receivables balances of $560000 at …

Preparation of financial statementsFeb/Mar 20161m

An inexperienced bookkeeper calculated a draft profit for the year ended 31 December 2015 of $578 500. He had not acc…

Preparation of financial statementsFeb/Mar 20161m

A business makes up its financial statements to 30 April each year. Included in the ledger account balances on 1 May …

Traditional costing methodsFeb/Mar 20161m

A production centre uses 20000 machine hours and 17000 labour hours each month. Which formula is used to calculate th…

Traditional costing methodsFeb/Mar 20161m

The following information is available. budget actual overheads $60000 $66 000 direct labour 30 000 hours 35 000 hour…

Traditional costing methodsFeb/Mar 20161m

A particular cost is classified as 'semi-variable'. What effect will a 20% reduction in activity have on the unit cost?

← Browse all past-paper questions