A Level Accounting (9706)•9706/12/M/J/23

Explanation
Insufficient data for precise equity calculation Steps:
- Parse initial equity: Ordinary shares likely 400,000; general reserve and retained earnings total around 940,000 total.
- Apply bonus issue: 1 for 8 on 400,000 shares adds 50,000 shares (940,000.
- Process share issue: 15,000 ordinary shares issued, but price and "debentures for" phrasing ambiguous—cannot determine cash inflow or premium.
- Compute final equity: Requires issue price; without it, total cannot be exactly calculated.
Not enough information.
Final answer: Not enough information.
Topic: Preparation of financial statements
Practice more A Level Accounting (9706) questions on mMCQ.me