Question

A Ltd. forfeited 2,000 shares of ₹10 each fully called up for non-payment of final call of ₹2 per share. 1,200 of these shares were reissued at ₹7 per share, fully paid up. What is the amount to be transferred to Capital Reserve Account?

विकल्प

• ₹7,600

• ₹1,200

• ₹12,400

• ₹6,000

Answer 1

₹6,000

Explanation:

Face value = ₹10, called up fully = ₹10 × 2,000 = ₹20,000

Unpaid = Final call ₹2 × 2,000 = ₹4,000

Amount received = ₹20,000 − ₹4,000 = ₹16,000

Issued at ₹7 as fully paid (face value ₹10)

Discount = ₹3 per share

Total discount = 1,200 × 3 = ₹3,600

Forfeiture related to 1,200 shares = (16,000 ÷ 2,000) × 1,200

= ₹9,600 − Discount allowed = ₹3,600

= ₹6,000 transferred to Capital Reserve