Question

Kaveri Ltd. was registered with an authorised capital of 40,000 equity shares of ₹100 each. It offered 30,000 equity shares to the public at a premium of ₹40 per share. The amount per share was payable as ₹30 on application; ₹70 (including premium) on allotment; and the balance on first and final call. 28,000 shares were subscribed by the public. All calls were made. A shareholder holding 1,000 shares failed to pay the allotment and first and final call money.

Subscribed but not Fully Paid Capital will be ______.

Options

• ₹70,000

• ₹30,000

• ₹27,30,000

• ₹1,00,000

Answer 1

Subscribed but not Fully Paid Capital will be ₹1,00,000.

Explanation:

Subscribed Shares = 28,000

One shareholder with 1,000 shares did not pay allotment and first & final call.

Subscribed but Not Fully Paid Capital = 1,000 shares × ₹100 (face value)

= ₹1,00,000