Question

Following amounts were payable on issue of shares by a Company: ₹3 on application, ₹3 on allotment, ₹2 on first call and ₹2 on final call. X holding 500 shares paid only application and allotment money whereas Y holding 400 shares did not pay final call. Amount of calls in arrear will be:

Options

• ₹3,800

• ₹2,800

• ₹1,800

• ₹6,200

Answer 1

₹2,800

Explanation:

Case of X (500 shares)
Paid: Application (₹1) + Allotment (₹1) = ₹2 × 500 = ₹1,000
Not Paid: First Call (₹2) + Final Call (₹2) = ₹4 × 500 = ₹2,000
Calls in Arrear (X) = ₹2,000

Case of Y (400 shares)
Paid: Application + Allotment + First Call = (₹1 + ₹1 + ₹2) = ₹4 × 400 = ₹1,600
Not Paid: Final Call (₹2) × 400 = ₹800

Total Calls in Arrear
₹2,000 + ₹800
= ₹2,800