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Point 1: Kika Ltd's authorised share capital is 20 million (30p) shares. Below are a selection of balances from the books of Kika Ltd at 1st April 2019. £'000 Paid-up ordinary share capital, 30p shares 1,200 Share premium 18,500 Retained profits 7,650 General reserve 1,900 During the year ended 31st March 2020 the following took place: o 200000 ordinary shares were issued on the market at a price of £3.50 per share and paid up in full on 12th May 2019. o The directors made a 1 for 10 rights issue at a premium of £2 per share in November 2019. This issue was taken up in full and paid up on 1st december 2019
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Question 1: Use the information above to prepare Kika Ltd's ordinary share capital and share premium accounts clearly showing the opening balances at 1st April 2019, all relevant accounting entries in the year and closing balances at 31st March 2020
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