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Didi Ltd offered 10,000 ordinary shares of ₦1.50 each at a discount of 2% whic...


Question

Didi Ltd offered 10,000 ordinary shares of ₦1.50 each at a discount of 2% which were fully subscribed. With regard to the offer above

Options

A) shares are never offered at a discount; the offer is invalid

B) the value of shares in the capital account will be lowered by 2%

C) the company incurs a loss to the tune of 2% of the offer

D) each of the subscribers loses 2% of investment

The correct answer is C.


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