Question : Shagoon Ltd. issued 40,000 Shares of Rs. 10 each, for Rs. 12 each payable as under:
On application Rs. 2 per share, on allotment Rs. 5 per share (including premium), on first call Rs. 2 per share and on second and final call Rs. 3 per share.
Applications were received for 60,000 shares. Allotment was made on pro rata basis to the applicants for 48,000 shares, remaining applications being refused. Money overpaid on application was applied towards amount due on allotment.
Amrit, to whom 1,600 shares were allotted, failed to pay the allotment money.
The amount that company will not received on allotment _________.
Option 1: Rs. 8,000
Option 2: Rs. 7,360
Option 3: Rs. 8,500
Option 4: Rs. 1,000
Correct Answer: Rs. 7,360
Solution : Answer = Rs. 7,360
|
1. Calculation of the amount due but not paid on an allotment in the case of Amrit: |
Rs. |
|
(a) Total number of shares applied by Amrit = 1,600 x 48,000/40,000 = 1,920 shares. (b) Total money received on application from Amrit (1,920 x Rs. 2) |
3,840 |
|
(c) Excess application money [ Rs. 3,840 - (1,600 x Rs. 2)] |
640 |
|
(d) Total amount due on the allotment (1,600 x Rs. 5) |
8,000 |
(e) Amount due but not paid on allotment by Amrit 8,000 - Rs. 640]
7,360
Hence, the correct option is 2.
