A-LevelAccountingPreparation of financial statements9706/12 · Oct/Nov 2016 · Q161 Mark

How would a transfer to general reserve and the issue of shares at a premium affect the revenue reserves of a limited company? transfer to issue of shares general reserve at a premium A decrease decrease B decrease increase C no effect increase D no effect no effect

Adecrease decrease

Bdecrease increase

Cno effect increase

Dno effect no effect

✓ Correct answer

D: no effect no effect

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Topic: Preparation of financial statements, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, Oct/Nov 2016 Paper 1 Variant 2, question 16.

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How would a transfer to general reserve and the issue of shares at a premium affect the revenue reserves of a limited company? transfer to issue of shares general reserve at a premium A decrease decrease B decrease increase C no effect increase D no effect no effect

✓ Correct answer

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About this question

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