Question:
Ajay Ltd. forfeited 100 shares of ₹ 10 each for non-payment of first call of ₹ 1 per share and second and final call of ₹ 3 per share. The minimum price per share at which these shares can be reissued will be:
Ajay Ltd. forfeited 100 shares of ₹ 10 each for non-payment of first call of ₹ 1 per share and second and final call of ₹ 3 per share. The minimum price per share at which these shares can be reissued will be:
Show Hint
Minimum reissue price of a forfeited share = Face value – unpaid calls, as long as discount ≤ forfeited amount.
Updated On: Jul 14, 2025
- ₹ 6
- ₹ 4
- ₹ 10
- ₹ 16
Hide Solution
Verified By Collegedunia
The Correct Option is B
Solution and Explanation
Face value of share = ₹ 10
Unpaid amount = ₹ 1 (first call) + ₹ 3 (second call) = ₹ 4
Amount received = ₹ 6
So maximum discount allowed = ₹ 4 (i.e., unpaid amount)
Minimum price at which share can be reissued = ₹ 10 – ₹ 4 = ₹ 6 But since ₹ 4 is unpaid, reissue price can be as low as ₹ 4 if the discount does not exceed forfeited amount. Correct minimum price = ₹ 4 Final Answer: ₹ 4
Unpaid amount = ₹ 1 (first call) + ₹ 3 (second call) = ₹ 4
Amount received = ₹ 6
So maximum discount allowed = ₹ 4 (i.e., unpaid amount)
Minimum price at which share can be reissued = ₹ 10 – ₹ 4 = ₹ 6 But since ₹ 4 is unpaid, reissue price can be as low as ₹ 4 if the discount does not exceed forfeited amount. Correct minimum price = ₹ 4 Final Answer: ₹ 4
Was this answer helpful?
0
0
Top Questions on Issue of Shares
Following is the extract of the Balance Sheet of Vikalp Ltd. as per Schedule-III, Part-I of Companies Act as at 31st March, 2024 along with notes to accounts :
(i) The total face value of equity shares issued during the year 2023-24 was :- CBSE CLASS XII - 2025
- Accountancy
- Issue of Shares
- Alexia Limited invited applications for issuing 1,00,000 equity shares of ₹ 10 each at a premium of ₹ 10 per share. The amount was payable as follows :
On application ₹ 9 per share (including premium ₹ 6 per share)
On allotment ₹ 8 per share (including premium ₹ 4 per share)
On first and final call ₹ 3 per share.
Applications were received for 1,50,000 equity shares and allotment was made to the applicants as follows :
Category A : Applicants for 90,000 shares were allotted 70,000 shares.
Category B : Applicants for 60,000 shares were allotted 30,000 shares.
Excess money received on application was adjusted towards allotment and first and final call.
Shekhar, who had applied for 1,200 shares, failed to pay the first and final call. Shekhar belonged to Category B.
Pass necessary journal entries for the above transactions in the books of Alexia Limited. Open calls in arrears and calls in advance account wherever necessary.- CBSE CLASS XII - 2025
- Accountancy
- Issue of Shares
- Premier Ltd. forfeited 600 shares of ₹ 10 each issued at a premium of ₹ 3 per share (payable with allotment) for non-payment of allotment money of ₹ 7 per share including premium. The first and final call of ₹ 3 per share was not yet made. The forfeited shares were reissued at ₹ 13 per share fully paid up.
- CBSE CLASS XII - 2025
- Accountancy
- Issue of Shares
- Risha Ltd. forfeited 1,000 shares of ₹ 10 each, ₹ 8 per share called up issued at a premium of ₹ 2 per share to Atul, for non-payment of allotment money of ₹ 6 per share (including premium). Out of these, 800 shares were reissued at ₹ 7 per share, ₹ 8 paid up.
- CBSE CLASS XII - 2025
- Accountancy
- Issue of Shares
- Assertion (A): The maximum number of partners in a partnership firm is 50.
Reason (R): By virtue of the Companies Act 2013, the Central Government is empowered to prescribe maximum number of partners in a firm. The Central Government has prescribed the maximum number of partners in a firm to be 50.
Choose the correct option from the following:- CBSE CLASS XII - 2025
- Accountancy
- Issue of Shares
View More Questions
Questions Asked in CBSE CLASS XII exam
- Find the values of \( a \) for which \( f(x) = \sin x - ax + b \) is increasing on \( \mathbb{R} \).
- A beam of light coming from a distant source is refracted by a spherical glass ball (refractive index 1.5) of radius 15 cm. Draw the ray diagram and obtain the position of the final image formed.
- Calculate \( \Lambda_m^0 \) for acetic acid and its degree of dissociation (\( \alpha \)) if its molar conductivity is 48.1 \( \Omega^{-1} \, \text{cm}^2 \, \text{mol}^{-1} \).
Given that
\( \Lambda_m^0 (\text{HC}) = 426 \, \Omega^{-1} \, \text{cm}^2 \, \text{mol}^{-1} \),
\( \Lambda_m^0 (\text{NaCl}) = 126 \, \Omega^{-1} \, \text{cm}^2 \, \text{mol}^{-1} \),
\( \Lambda_m^0 (\text{CH}_3\text{COONa}) = 91 \, \Omega^{-1} \, \text{cm}^2 \, \text{mol}^{-1} \).- CBSE CLASS XII - 2025
- Electrochemistry
If \[ A = \begin{bmatrix} 2 & -3 & 5 \\ 3 & 2 & -4 \\ 1 & 1 & -2 \end{bmatrix}, \] find \( A^{-1} \).
Using \( A^{-1} \), solve the following system of equations:
\[ \begin{aligned} 2x - 3y + 5z &= 11 \quad \text{(1)} \\ 3x + 2y - 4z &= -5 \quad \text{(2)} \\ x + y - 2z &= -3 \quad \text{(3)} \end{aligned} \]
- CBSE CLASS XII - 2025
- CBSE Compartment XII - 2025
- Matrices and Determinants
- Define Fuel cell
- CBSE CLASS XII - 2025
- Electrochemistry
View More Questions