Waec Model Questions Vol1 2023 Financial Accounting Question 7
Practice objective / multiple choice question 7 from the 2023 Waec Model Questions Vol1 Financial Accounting examination.
At the beginning of the year, XYZ Ltd had the following equity items: Share capital (ordinary) ₦5,000,000 (par value ₦10 per share), Share premium ₦1,200,000, Revaluation reserve ₦300,000, Retained earnings ₦800,000. During the year the company: (i) issued 20,000 ordinary shares at ₦15 each; (ii) revalued a building, creating a revaluation surplus of ₦500,000; (iii) declared and paid an ordinary dividend of 10% on the ordinary share capital (based on par value); (iv) purchased its own shares costing ₦250,000; (v) transferred ₦100,000 from retained earnings to a general reserve. Compute the total shareholders' equity at the end of the year.
Answer Options
About This Question
This is Waec Model Questions Vol1 2023 Financial Accounting Question 7. It is one of the objective questions from the 2023 Waec Model Questions Vol1 Financial Accounting examination.
Difficulty level: Hard .
Master the Exam!
You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.