Question : Raghav Ltd. was registered with an authorised capital of Rs. 10,00,000 divided into 1,00,000 shares of Rs. 10 each. The company offered 60,000 shares to public on which amounts were payable Rs. 3 per share on application, Rs. 3 per share on allotment and the balance when required. Applications for 92,000 shares were received on which the Directors allotted as follows:
|
Applicants for 40,000 shares |
— |
Full, |
|
Applicants for 50,000 shares |
— |
40%, |
|
Applicants for 2,000 shares |
— |
Nil. |
Rs. 84,000 were received as allotment money (excluding the amount carried from application money).
Question:- Amount refunded will be:
Option 1: Rs. 36,000
Option 2: Rs. 96,000
Option 3: Rs. 60,000
Option 4: Rs. 30,000
Correct Answer: Rs. 36,000
Solution : Answer = Rs. 36,000
In the Books of Raghav Ltd.
JOURNAL
|
Date |
Particulars |
L.F. |
Dr. ( Rs.) |
Cr. Rs. |
|
|
Bank A/c (92,000 x Rs. 3) |
...Dr. |
2,76,000 |
|||
|
To Shares Application A/c (Application money received for 92,000 shares) |
2,76,000 |
||||
|
Shares Application A/c |
...Dr. |
2,76,000 |
|||
To Share Capital A/c (60,000 x Rs. 3)
To Bank A/c (2,000 x Rs. 3 + 10,000 xT3)
To Shares Allotment A/c (20,000 x Rs. 3) (Application money adjusted and surplus refunded)
1,80,000
36.000
60.000
Shares Allotment A/c
...Dr.
1,80,000
To Share Capital A/c
(Allotment money due on 60,000 shares @ Rs. 3 per share)
1,80,000
Bank A/c
...Dr.
84,000
To Shares Allotment A/c
(Amount received on allotment except on 12,000 shares)
84,000
Hence, the correct option is 1.
Related Questions
Question : Raghav Ltd. was registered with an authorised capital of Rs. 10,00,000 divided into 1,00,000 shares of Rs. 10 each. The company offered 60,000 shares to public on which amounts were payable Rs. 3 per share on application, Rs. 3 per share on allotment and the balance when required. Applications for 92,000 shares were received on which the Directors allotted as follows:
|
Applicants for 40,000 shares |
— |
Full, |
|
Applicants for 50,000 shares |
— |
40%, |
|
Applicants for 2,000 shares |
— |
Nil. |
Rs. 84,000 were received as allotment money (excluding the amount carried from application money).
Question:- Amount refunded will be:
Option 1: Rs. 36,000
Option 2: Rs. 96,000
Option 3: Rs. 60,000
Option 4: Rs. 30,000
Question : XYZ Ltd. invited applications for issuing 1,00,000 equity shares of Rs. 10 each at par. The amount was payable as follows:
On Application— Rs. 3 per share;
On Allotment— Rs. 4 per share; and
On First and Final Call— Rs. 3 per share.
The issue was oversubscribed by three times. Applications for 20% shares were rejected and the money refunded. Allotment was made to the remaining applicants as follows:
| Category | No. of Shares Applied | No. of Shares Allotted |
| I | 1,60,000 | 80,000 |
| II | 80,000 | 20,000 |
Excess money received with applications was adjusted towards sums due on allotment and first and final call. All calls were made and were duly received except the final call by a shareholder belonging to Category I who has applied for 320 shares. His shares were forfeited. The forfeited shares were reissued at Rs. 15 per share fully paid-up.
Question:- What is the amount to be transferred to Capital Reserve?
Option 1: Rs.1,120
Option 2: Rs.1,920
Option 3: Rs.800
Option 4: None of the above
Question : XYZ Ltd. invited applications for issuing 1,00,000 equity shares of Rs. 10 each at par. The amount was payable as follows:
On Application— Rs. 3 per share;
On Allotment— Rs. 4 per share; and
On First and Final Call— Rs. 3 per share.
The issue was oversubscribed by three times. Applications for 20% shares were rejected and the money refunded. Allotment was made to the remaining applicants as follows:
| Category | No. of Shares Applied | No. of Shares Allotted |
| I | 1,60,000 | 80,000 |
| II | 80,000 | 20,000 |
Excess money received with applications was adjusted towards sums due on allotment and first and final call. All calls were made and were duly received except the final call by a shareholder belonging to Category I who has applied for 320 shares. His shares were forfeited. The forfeited shares were reissued at Rs. 15 per share fully paid-up.
Question:- What is the amount to be transferred to Capital Reserve?
Option 1: Rs.1,120
Option 2: Rs.1,920
Option 3: Rs.800
Option 4: None of the above
Question : XYZ Ltd. invited applications for issuing 1,00,000 equity shares of Rs. 10 each at par. The amount was payable as follows:
On Application— Rs. 3 per share;
On Allotment— Rs. 4 per share; and
On First and Final Call— Rs. 3 per share.
The issue was oversubscribed by three times. Applications for 20% shares were rejected and the money refunded. Allotment was made to the remaining applicants as follows:
| Category | No. of Shares Applied | No. of Shares Allotted |
| I | 1,60,000 | 80,000 |
| II | 80,000 | 20,000 |
Excess money received with applications was adjusted towards sums due on allotment and first and final call. All calls were made and were duly received except the final call by a shareholder belonging to Category I who has applied for 320 shares. His shares were forfeited. The forfeited shares were reissued at Rs. 15 per share fully paid-up.
Question:- At the time of forfeiture of shares, share forfeited account will be:
Option 1: Rs. 1,000
Option 2: Rs. 1,120
Option 3: Rs. 1,500
Option 4: Rs. 1,400
Question : XYZ Ltd. invited applications for issuing 1,00,000 equity shares of Rs. 10 each at par. The amount was payable as follows:
On Application— Rs. 3 per share;
On Allotment— Rs. 4 per share; and
On First and Final Call— Rs. 3 per share.
The issue was oversubscribed by three times. Applications for 20% shares were rejected and the money refunded. Allotment was made to the remaining applicants as follows:
| Category | No. of Shares Applied | No. of Shares Allotted |
| I | 1,60,000 | 80,000 |
| II | 80,000 | 20,000 |
Excess money received with applications was adjusted towards sums due on allotment and first and final call. All calls were made and were duly received except the final call by a shareholder belonging to Category I who has applied for 320 shares. His shares were forfeited. The forfeited shares were reissued at Rs. 15 per share fully paid-up.
Question:- At the time of forfeiture of shares, share forfeited account will be:
Option 1: Rs. 1,000
Option 2: Rs. 1,120
Option 3: Rs. 1,500
Option 4: Rs. 1,400
