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Question : Mahesh Ltd. took over assets of Rs.24,60,000 and liabilities of Rs.4,60,000 of J Ltd. at an agreed value of Rs.22,00,000 payable Rs.5,08,000 by a bank draft and balance by the issue of Equity Shares of 100 each at a premium of 20%. The number of Equity Shares issued by Mahesh Ltd. to settle the above transaction is:

Option 1: 13,800

Option 2: 14,100

Option 3: 14,200

Option 4: 14,600


Team Careers360 7th Jan, 2024
Answer (1)
Team Careers360 17th Jan, 2024

Correct Answer: 14,100


Solution : Number of shares issued = Purchase Consideration/Issued Price = Rs.22,00,000/(Rs.100 + 20) = 14,100.
Hence, the correct option is 2.

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