Flag Ltd Has Received Applications for 4 Million Shares During

question 11

Multiple Choice

Flag Ltd has received applications for 4 million shares during July 2014.The shares are to be issued at a price of $2.75 per share.The 4 million shares are allotted on 15 August 2014.What are the accounting entries required to record these events?

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Definitions:

Zygote

The initial cell formed when a sperm cell fertilizes an egg cell, which will develop into an embryo through cell division.

Dispersal

The movement of organisms from their birth site to other locations for breeding or living habitat.

Smooth Surfaces

Areas or aspects of objects that are evenly textured and free from noticeable bumps or indentations, often associated with items that have been polished or naturally lack irregularities.

Fleshy Fruits

A type of fruit with a thick, soft, edible part developed from the ovary of a flower, characteristic of tomatoes, apples, and berries.