Calculate the opening balance of Ordinary Share Capital.
This economics question tests your understanding of economic models and analysis. The step-by-step answer below applies the relevant framework and explains the reasoning.
ScanSolve AI Answer
Step 1: Calculate the opening balance of Ordinary Share Capital.
The company had 60% of the authorised shares in issue on 1 March 2024.
Authorised shares: $2,000,000$
Shares in issue: $2,000,000 \times 60\% = 1,200,000$ shares
Average issue price: R10.00 per share
Opening balance of Ordinary Share Capital:
$$1,200,000 \text{ shares} \times R10.00/\text{share} = R12,000,000$$
Step 2: Calculate the transactions affecting Ordinary Share
