Question

If 10,000 shares of ₹10 each were forfeited for non-payment of final call money of ₹3 per share and only 7,000 shares were re-issued @ ₹11 per share as fully paid up, then what is the amount of maximum possible discount that company can allow at the time of re-issue of the remaining 3,000 shares?

पर्याय

• ₹28,000

• ₹21,000

• ₹9,000

• ₹16,000

Answer 1

₹21,000

Explanation:

Forfeiture

10,000 shares × ₹10 = ₹1,00,000 (called up).

Unpaid (Final Call ₹3 × 10,000) = ₹30,000.

Paid = ₹70,000.

Reissue of 7,000 shares @ ₹11

Face Value = ₹10, Reissue Price = ₹11 → issued at ₹1 premium.

Forfeiture balance related to 7,000 shares = 7,000 × 7 = ₹49,000.

Since no discount, this ₹49,000 goes to Capital Reserve.

Total forfeiture = ₹70,000

Transferred to Capital Reserve (7,000 shares) = ₹49,000

₹21,000

Forfeiture per share left = 21,000 ÷ 3,000 = ₹7.

Forfeiture balance per share × 3,000

= ₹7 × 3,000

= ₹21,000