Question : The forfeited amount on shares not yet reissued is shown in the Balance Sheet as an addition to the:
Option 1: Reserves and Surplus
Option 2: Called Up Capital
Option 3: Authorised Share Capital
Option 4: Paid up Share Capital

Question

Question : The forfeited amount on shares not yet reissued is shown in the Balance Sheet as an addition to the:

Option 1: Reserves and Surplus

Option 2: Called Up Capital

Option 3: Authorised Share Capital

Option 4: Paid up Share Capital

Team Careers360 · Accepted Answer

Correct Answer: Paid up Share Capital

Solution : The forfeited value on shares that haven't been reissued yet is added to the paid-up share capital in the notes to accounts under the subscribed capital portion in the share capital sub-head, under the Shareholders Funds head on the Balance Sheet.

Hence the correct answer is option 4.

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Question : The forfeited amount on shares not yet reissued is shown in the Balance Sheet as an addition to the:Option 1: Reserves and SurplusOption 2: Called Up CapitalOption 3: Authorised Share CapitalOption 4: Paid up Share Capital

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Question : The forfeited amount on shares not yet reissued is shown in the Balance Sheet as an addition to the:
Option 1: Reserves and Surplus
Option 2: Called Up Capital
Option 3: Authorised Share Capital
Option 4: Paid up Share Capital

Question : Vibhuti Ltd. Forfeited 40 shares of Rs. 10 each, Rs. 8 called up, on which Jhanvi had paid application and allotment money of Rs. 5 per share, 15 shares were reissued to Parker as fully paid up for Rs. 6 per share.

What is the balance in the share Forfeiture Account