Which Statement in Relation to a Bonus Issue of Shares

question 26

Multiple Choice

Which statement in relation to a bonus issue of shares is not true?

• A) When there is a bonus issue, there must be a transfer from share capital to reserves.
• B) A bonus issue capitalises reserves.
• C) The proportion of the company's shares held by a shareholder will not change after the issue.
• D) None of the above, i.e. all are true statements.

Comprehend the impact of jury size on the dynamics of decision-making and verdict outcomes.

Grasp the components and significance of the Correctional Institutions Environment Scale.

Identify specific initiatives and programs aimed at rehabilitation within the prison system.

Recognize the role of psychological phenomena such as the forensic confirmation bias in the criminal justice process.

---

Definitions:

Financial Break-Even

The point at which total revenues are equal to total financial costs, resulting in zero net income or loss.

Salvage Value

The estimated resale value of an asset at the end of its useful life.

Initial Investment

Initial investment refers to the amount of money initially invested in a project, asset, or company, which can influence subsequent cash flows and profitability.

Operating Leverage

A measure of how revenue growth translates into growth in operating income, indicating the fixed versus variable costs structure of a company.