Anyone have CIE Accounting A2 exams this june?

[sabbath_92]

I kind of need some clarifications with a few MCQ past paper questions. I'll sort them and post all of them here if I get any replies.

[~ A.F ~]

Shoshou Mony (administrator) is..

[sabbath_92]

This is one of the firsts:

A company has in issue 200 000 redeemable preference shares of $1 each. These were issued many years ago at a premium of 8%
It now proposes to redeem all the preference shares at a premium of 10%, partly financed by a cash issue of 50 000 new ordinary shares at $2 each, at a price of $ 3.50
How much will the transfer to the capital redemption reseve fund be?

[immortal]

A capital redemption reseve will b created for $ 100,000    (200000-50000*2)

The share premium A/C will b increased by $ 55,000    (75000-20000)

[Monica]

I am here for help. Post the paper and question also please.

[sabbath_92]

A capital redemption reseve will b created for $ 100,000    (200000-50000*2)

The share premium A/C will b increased by $ 55,000    (75000-20000)

Naah, the answer is $25,000.
The amount recieved from the new issues of shares is 50,000x3.50=175,000 [The full price will be taken cos we are assuming the premium was decided so that it covers the cost of the redemption.]
The remaining amount needed for the redemption to take place is 200,000-175,000. This will be taken from a reserve and transferred to the CRRF.

I will post the lot tomorrow morning. Thanks.

[immortal]

There r no assumptions in accounting, it only deals wit facts and figures.
As for da question, wat i stated b4 is correct, its as per da new syllabus.
because da old syllabus takes da 8% in 2 consideration,so different answer.

[sabbath_92]

There r no assumptions in accounting, it only deals wit facts and figures.
As for da question, wat i stated b4 is correct, its as per da new syllabus.
because da old syllabus takes da 8% in 2 consideration,so different answer.

Well according to the new syllabus you are wrong, and examiners don't care about the old syllabus. And I used the word assumption for the explanation, it's a fact.

[sabbath_92]

Could someone explain these:

May June 09- Paper 3
Question 5
Question 14
Question 30

The link to the paper is here: http://www.freeexampapers.com/Dndex.php?d=QSBMZXZlbC9BY2NvdW50aW5nL0NJRQ==

Thanks.

[immortal]

Q5>=C
      1500+600-210=1890(shareholders fund)
       1890/2100(num of shares)=0.9(balance-sheet value of share)

Q14>=C
        The average shud b found & spread over 5 years.
         common mistake is making B

Q30>D
        find da combition which gives da highest return,this can b found by knowing da return of investment.