In Accordance with AASB 107,what Is the Appropriate Classification for the Conversion

question 11

Multiple Choice

In accordance with AASB 107,what is the appropriate classification for the conversion of preference shares to ordinary shares?

• A) inflow in investing activity
• B) inflow in financing activity
• C) non-cash investing item
• D) non-cash financing item
• E) None of the given answers

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Definitions:

Ego

In psychoanalytic theory, the part of the mind that mediates between the conscious and the unconscious and is responsible for reality testing and a sense of personal identity.

Conscience

An individual's internal moral compass, guiding distinctions between right and wrong.

Morality

Principles concerning the distinction between right and wrong or good and bad behavior, often influenced by culture, religion, or personal beliefs.

Superego

In psychoanalytic theory, it represents the ethical component of the personality and provides the moral standards by which the ego operates.