General ledger of Mbali Limited
* The rights expired on 1 July 2012, which is before the reporting date.
Calculations
| 1. |
CU |
| Fair value of shares (4,500 x CU3,90) |
17,550 |
| Carrying amount of shares (4,500 x CU3,88) |
(17,460) |
| Fair value adjustment |
90 |
| 2. |
Number of shares and R/s |
Amount
CU
|
| Before rights issue |
4,500 x CU3,90 |
17,550 |
| Rights issue (4,500 / 5 = 900 rights x 1 share per right = 900 shares) |
900 x CU3,30 |
2,970 |
|
5,400 x CU3,80 |
20,520 |
|
CU |
| Ex-rights value per share (CU20,520/5,400 shares) |
3,80 |
| Rights issue price |
3,30 |
| Value per new share |
0,50 |
OR:
|
CU |
| Cum rights value per share |
3,90 |
| Ex rights value per share |
3,80 |
| Value change per existing share |
0,10 |
OR:
|
CU |
| 5 existing shares = 1 right = 0,10 per existing share x 5 = |
0,50 |
| Value per right |
|
|
|
| Value of rights to be transferred to the investment in rights account(900 rights x R0,50 per right) or (4,500 existing shares x R0,10 per existing share) or (900 new shares x R0,50 per new share) |
450 |
| 3. |
CU |
| Fair value of all shares on date of sale (4,500 + 1,500 shares x CU3,90) |
23,400 |
| Carrying amount of all shares on date of sale (CU17,400 + CU5,550) |
(22,650) |
| Fair value adjustment |
750 |
| 4. |
CU |
| Fair value of all rights on date of sale (900 + 200 rights x R0,66) |
726 |
| Carrying amount of all rights on date of sale (CU450 + CU128) |
(578) |
| Fair value adjustment |
148 |
| 5. Exercise rights (convert rights into shares): |
CU |
| – Pay in cash (CU3,30 x 700 new shares) |
2,310 |
| – Transfer rights value to shares (R0,66 x 700 rights) |
462 |
| Total value recognised in investment in shares account |
2,772 |
| 6. |
CU |
| Fair value of all shares on date of sale (5,200 + 700 shares x CU4,00) |
23,600 |
| Carrying amount of all shares on date of sale (CU20,280 + CU2,310 + CU462) |
(23,052) |
| Fair value adjustment |
548 |
| 7. |
CU |
| Fair value of shares (500 shares x CU3,50) |
1,750 |
| Carrying amount of shares (CU1,600 + CU405) |
(2,005) |
| Fair value adjustment |
(255) |
