Question

Gupta Ltd. forfeited 4,000 shares of ₹10 each for non-payment of Final Call of ₹3 per share. Out of these, 3,000 shares were re-issued as fully paid up in such a way that ₹9,000 were transferred to capital reserve. Shares were re-issued for ______.

Options

• ₹4 per share

• ₹6 per share

• ₹10 per share

• ₹3 per share

Answer 1

₹6 per share

Explanation:

	₹
Forfeited amount on 3,000 reissued shares = 3,000 × ₹7	21,000
Less: Transferred to Capital Reserve	9,000
Loss on Reissue	12,000

Per Share Loss on Reissue = `12000/3000`

₹4 per share

Hence, shares were reissued at ₹10 − ₹4 = ₹6