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Question
800 shares of ₹10 each issued at 30% premium (to be paid on allotment) were forfeited for non-payment of ₹2 per share on first call and ₹2 per share on final call. Share Forfeiture Account will be credited with:
Options
₹2,400
₹4,800
₹3,200
₹7,200
MCQ
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Solution
₹4,800
Explanation:
Face Value per Share = ₹10
Called-up (till forfeiture) = ₹10
Premium (₹3) was already received
Amount Unpaid = First Call ₹2 + Final Call ₹2 = ₹4 per share
Amount Received (per share) = ₹10 − ₹4 = ₹6
Share Forfeiture A/c = Amount Received × No. of Shares
= ₹6 × 800
= ₹4,800
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Chapter 6: Company Accounts - Issue of Shares - OBJECTIVE TYPE QUESTIONS [Page 6.206]
