Consider the following statements about Accounting for Share Capital Transactions:
1. Bonus shares are issued from the company's reserves.
2. Right shares are offered to existing shareholders at a discount.
3. Preference shares can be converted into equity shares.
Which of the above statements is/are correct?
1
1 only
2
2 only
3
1 and 2 only
4
1 and 3 only
5
2 and 3 only