90.2K
Verified Solution
Link Copied!
Tara Ltd is a listed company. They currently have 2,000,000 shares outstanding on the Australian Stock Exchange.
They have decided to raise an additional $20,000,000 through an institutional placement.
Initially:
Price per share - $2, with half paid on application, balance to be paid when called sometime in the future.
One month later:
Payment of the balance announced by the company. 2% of the shareholders forfeited their shares.
Required:
1) Record the above transactions (ignore dates)
2) State the dollar value that will be refunded to shareholders who forfeited their shares, give a brief reason as to why you have stated that amount
Answer & Explanation
Solved by verified expert
