Ribelo Ltd issued 5 000 6% redeemable preference shares on 1 July 2023. The shares are convertible at the option of the holder, with compulsory dividend payments by the issuer. REQUIRED:How will you disclose the preference shares in the annual financial statements of Ribelo Ltd on 31 December 2023?

MNS Ltd issues redeemable preference shares with cumulative dividend ratio at 7%. MNS Ltd has to pay dividend on the shares every year and has the contractual obligation to redeem the shares for cash at the expiration date.How MNS Ltd should recognise the preference shares?Group of answer choicesRecognise the preference shares as financial assetsRecognise the preference shares as financial liabilitiesRecognise part of the preference shares as financial liabilities and part of them as equity instrumentsRecognise the preference shares as equity instruments

17.Preference shares typically offer:  A. Voting rights to shareholders  B. Fixed dividend payments  C. Convertibility into equity shares  D. No claim on company profits

At the beginning of 2023, BBB Corporation was organized with authorized capital of 100,000, P200 par value shares. January 15 – Issued 10,000 shares at P280 per share.May 1 – Issued 5,000 shares in exchange for land with a fair value of P1,200,000. On this date, fair value of the shares was P250 per share.November 23 – Issued 2,000 shares for legal services when the fair value was P260 per share.What amount should be reported as share premium?

n 1 August 2023, Alpha Ltd holds a substantive deep-in-the-money option to acquire the majority of shares in Beta Ltd that is exercisable in 30 days. The earliest date the existing shareholders of Beta Ltd can call a special shareholders’ meeting to change the company’s policies on its relevant activities is in 25 days. Based on these facts only, does Alpha Ltd have the power to control Beta Ltd as of 1 August 2023?Group of answer choicesAlpha Ltd does not have the power to control because Alpha Ltd will suffer a financial penalty if the option is exercised.Alpha Ltd does not have the power to control because the option has not been exercised.Alpha Ltd does not have the power to control because the option only represents potential voting rights, not real voting rights.Alpha Ltd does not have the power to control because the option cannot be exercised before the earliest date that a shareholders’ meeting can be convened to change the company’s policies on relevant activities.

rail Ltd’s issued share capital has not changed since incorporation on 1 January 2020, and consists of:400 000 Ordinary shares (issued at R2 each)150 000 9% Preference shares (issued at R2 each)180 000 10% Cumulative preference shares (issued at R3 each)No dividends were declared in the previous two financial years, but at the end of the current financial year on 31 December 2023, a dividend of 15c per ordinary share was declared.