Avtar Ltd. invited application for 80,000 shares of ₹10 each payable ₹5/- on application, ₹3/- on allotment and ₹2/- on call. Public had applied for 2,50,000 shares out of which application for 30,000 shares was rejected and remaining were allotted on pro-rata basis. Excess application money was adjusted against allotment only. Determine the amount to be refunded at the time of allotment of shares.
₹46,000
Refunded amount = Application money received for rejected shares.
= 30,000 shares × ₹5 = ₹1,50,000.
Important Questions from Accounting for Share Capital
Arrange the following in the correct order:
(A) Subscribed Capital
(B) Issued Capital
(C) Authorised Capital
(D) Paid-up Capital
(E) Called-up Capital
Choose the correct answer from the options given below:
Libraries run by charitable trusts are an example of:
Oversubscription is a situation where the:
Match List-I with List-II and choose the correct answer from the options given below:
List-I
(Name of account to be debited or credited, when shares are forfeited)List-II
(Amount to be debited or credited)(A) Share Capital Account (I) Debited with amount not received (B) Share Forfeited Account (II) Credited with amount not received (C) Calls-in-arrears Account (III) Credited with amount received towards share capital (D) Securities Premium Account (IV) Debited with amount called up 400 shares of ₹ 50 each issued at par were forfeited for non-payment of final call of ₹ 10 per share. These shares were reissued at ₹ 45 per share as fully paid-up. The amount transferred to capital reserve is:
