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What is Allotment of shares? - Book Keeping and Accountancy

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What is Allotment of shares?
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Solution

Allotment means accepting the applications of the applicants and distributing the shares to them. After the acceptance, the company allots the shares via share certificates. The share certificate contains the details about the number of shares allotted to the applicant. Shareholders pay the prescribed allotment money for getting the shares allotted.
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Chapter 10: Company Accounts Part - 1 (Accounting for Shares) - Exercise 1 [Page 350]

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Micheal Vaz Book Keeping and Accountancy [English] 12 Standard HSC Maharashtra State Board
Chapter 10 Company Accounts Part - 1 (Accounting for Shares)
Exercise 1 | Q 8 | Page 350
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