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Question :

Good Co. Ltd. invited applications for 1,00,000 shares of  Rs. 10 each payable:
Rs. 3 on application, Rs. 3 on allotment and the balance when required. Applications were received for 1,20,000 shares out of which applications for 1,00,000 shares were accepted and the remaining applications were rejected. Allotment money was received for 99,500 shares. 

On the basis of the above information, choose the correct option to the following question.

Question:-  Amount refunded will be ____________.

Option 1: Rs. 80,000

Option 2: Rs. 60,000

Option 3: Rs. 2,00,000

Option 4: None of theses


Team Careers360 1st Jan, 2024
Answer (1)
Team Careers360 4th Jan, 2024

Correct Answer: Rs. 60,000


Solution : Answer = Rs. 60,000

Application money = Rs.3.
Excess shares = Shares applied - Shares allotted = 1,20,000 - 1,00,000 = 20,000 shares.
Amount refunded = 20,000 X Rs.3 = Rs.60,000.

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