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Question : A company invited applications for 50,000 Equity Shares of Rs. 10 each payable as follows:

On application Rs. 3; on allotment Rs. 3; on first and final call Rs. 4.

Applications were received for 1,10,000 shares. It was decided

(i) to refuse allotment to the applicants for 10,000 shares,

(ii) to allot 50% to X who has applied for 20,000 shares,

(iii) to allot in full to Y who has applied for 10,000 shares,

(iv) to allot balance of the available shares on pro-rata basis among the other applicants, and

(v) to utilise excess application money in part payment of allotment and final call.

Question:-  Amount received on allotment is:

Option 1: Rs. 60,000

Option 2: Rs. 40,000

Option 3: Rs. 30,000

Option 4: Rs. 15,000


Team Careers360 22nd Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: Rs. 30,000


Solution : Answer = Rs. 30,000

STATEMENT SHOWING DETAILS OF SHARES APPLICATION MONEY

Categories

Shares

Shares

Application

Disposal of Shares Application Money Received

Applied

Allotted

Money

Share

Shares

Calls-in-

Refund

Received

Capital

Allotment

Advance

Rs.

Rs.

Rs.

Rs.

Rs.

1 (Rejected)

10,000

NIL

30,000

30,000

(10,000 x Rs.3)

II X

20,000

10,000

60,000

30,000

30,000

(20,000 x  Rs. 3)

(10,000 x  Rs. 3)

(10,000 x Rs. 3)

III Y

10,000

10,000

30,000

30,000

(10,000 x  Rs. 3)

(10,000 x Rs. 3)

IV (Prorata)

70,000

30,000

2,10,000

90,000

90,000

30,000

(Bal.Fig.)

(Bal.Fig.)

(70,000 x  Rs. 3)

(30,000 x  Rs. 3)

(30,000 x  Rs. 3)

(2,10,000

- 90,000 - 90,000)

Total

1,10,000

50,000

3,30,000

1,50,000

1,20,000

30,000

30,000

Hence, the correct option is 3.

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