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Question
Sugandh Ltd. issued 60,000 shares of ₹ 10 each at a premium of ₹ 2 per share payable as ₹ 3 on application, ₹ 5(including premium) on allotment and the balance on first and final call. Applications were received for 92,000 shares. The Directors resolved to allot as
| (i) | Applicants of 40,000 shares | 30,000 shares, |
| (ii) | Applicants of 50,000 shares | 30,000 shares, |
| (iii) | Applicants of 2,000 shares | Nil. |
Mohan, who had applied for 800 shares in Category
(i) and Sohan, who was allotted 600 shares in Category
(ii) failed to pay the allotment money. Calculate amount received on allotment.
Solution
|
Issued Shares |
60,000 |
|
Less: Applied Shares |
92,000 |
|
Over-subscribed Shares |
32,000 |
Payable as:
|
Rs |
3 |
on Application |
|
Rs |
5 |
on Allotment (Including Rs 2 premium) |
|
Rs |
4 |
on First and Final Call |
|
Rs |
12 |
(10 + 2) |
|
Applied |
Allotted |
Money Received on Application @ Rs 3 |
Money adjusted on Appliction @ Rs 3 |
Excess |
Allotment due @ Rs 5 |
Excess money adjusted on Allotment @ Rs 5 |
|
40,000 |
30,000 |
1,20,000 |
90,000 |
30,000 |
1,50,000 |
30,000 |
|
50,000 |
30,000 |
1,50,000 |
90,000 |
60,000 |
1,50,000 |
60,000 |
|
2,000 |
NIL |
6,000 |
– |
6,000 |
|
|
|
|
|
|
|
(Bank) |
|
|
|
92,000 |
60,000 |
2,76,000 |
1,80,000 |
|
3,00,000 |
90,000 |
|
Applied |
Allotted |
Money Received on Application @ Rs 3 |
Money adjusted on Appliction @ Rs 3 |
Excess |
Allotment due @ Rs 5 |
Excess money adjusted on Allotment @ Rs 5 |
|
40,000 |
30,000 |
1,20,000 |
90,000 |
30,000 |
1,50,000 |
30,000 |
|
50,000 |
30,000 |
1,50,000 |
90,000 |
60,000 |
1,50,000 |
60,000 |
|
2,000 |
NIL |
6,000 |
– |
6,000 |
|
|
|
|
|
|
|
(Bank) |
|
|
|
92,000 |
60,000 |
2,76,000 |
1,80,000 |
|
3,00,000 |
90,000 |
Mohan
No.of share alloted to Mohan =
` 30000/40000 xx 800 = 600 shares`
|
Money Received on Application 800×3 |
= |
2,400 |
|
Application money adjusted to Share Capital 600×3 |
= |
1,800 |
|
Execs Money on Application |
= |
600 |
|
|
|
|
|
Allotment due on 600 shares × Rs 5 |
= |
3,000 |
|
Less: Adjustment of excess money on application |
= |
600 |
|
Calls-in-Arrears by Mohan |
|
2,400 |
Sohan
No.of shares applied by Sohan =
`50000/30000 xx 600 = 1000 shares`
|
Money received on Application 1,000×3 |
= |
3,000 |
|
Application money adjusted to Share Capital 600×3 |
= |
1,800 |
|
Excess money on application |
= |
1,200 |
|
|
|
|
|
Allotment due on 600 Shares × Rs 5 |
= |
3,000 |
|
Less: Adjustment of excess money on application |
= |
1,200 |
|
Calls-in-Arrears by Sohan |
= |
1,800 |
|
|
|
|
|
Allotment due on 60,000 shares × Rs 5 |
= |
3,00,000 |
|
Less: Excess Application money adjusted on Allotment |
= |
90,000 |
|
|
|
2,10,000 |
|
Less: Calls-in-Arrears by Mohan |
= |
2,400 |
|
Less: Calls-in-Arrears by Sohan |
= |
1,800 |
|
Money received on allotment |
= |
2,05,800 |
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