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Question : On 1st April, 2019, amita  Ltd. issued 30,000 Equity Shares of  Rs. 10 each at a premium of  Rs. 4 per share, payable as follows:

 Rs. 6 on application (including  Rs. 1 premium),

 Rs. 2 on allotment (including  Rs. 1 premium),

 Rs. 3 on first call (including  Rs. 1 premium), and

 Rs. 3 on second and final call (including  Rs. 1 premium).

Applications were received for 45,000 shares, of which applications for 9,000 shares were rejected and their money was refunded. Rest of the applicants were issued shares on pro rata basis and their excess money was adjusted towards allotment.

Hari, to whom 600 shares were allotted, failed to pay the allotment money and his shares were forfeited after allotment. Mohan, who applied for 1,080 shares failed to pay the two calls and on his such failure, his shares were forfeited.

1,200 forfeited shares were reissued as fully paid-up on receipt of  Rs. 9 per share, the whole of Mohan's shares being included.

Question:- Amount received on allotment will be:

Option 1: Rs. 60,000

Option 2: Rs. 24,000

Option 3: Rs. 23,520

Option 4: Rs. 36,000


Team Careers360 6th Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: Rs. 23,520


Solution : Answer = Rs. 23,520

Amount received on allotment:

Total amount due on allotment (30,000 x  Rs. 2)

60,000

Less: Excess application money adjusted (6,000 x  Rs. 6)

36.000

24.000

Less: Amount due but not paid by Hari [WN 1 (b)]

480

Net amount received on allotment

23,520

Hence, the correct option is 3.

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