Issue of Shares
Commerce ⇒ Accountancy
Issue of Shares starts at 12 and continues till grade 12.
QuestionsToday has an evolving set of questions to continuously challenge students so that their knowledge grows in Issue of Shares.
How you perform is determined by your score and the time you take.
When you play a quiz, your answers are evaluated in concept instead of actual words and definitions used.
See sample questions for grade 12
A company issued 10,000 shares of ₹10 each at a premium of ₹2 per share. The issue price is payable as follows: ₹3 on application, ₹5 (including premium) on allotment, and ₹4 on first and final call. Calculate the amount received on allotment.
A company issued 10,000 shares of ₹10 each at a premium of ₹2 per share. What is the total amount of securities premium received?
A company issued 12,000 shares of ₹10 each at par. Application money ₹2, allotment ₹3, first call ₹2, and final call ₹3. If a shareholder holding 500 shares fails to pay the final call, what is the amount of calls in arrears?
A company issued 15,000 shares of ₹10 each at a premium of ₹2 per share. The issue was fully subscribed. If the company received only ₹1,50,000 on application, what was the application money per share?
A company issued 20,000 shares of ₹10 each at a premium of ₹2 per share. The entire amount was payable on application. All shares were subscribed and money received. Pass the journal entry for receipt of application money.
A company issued 5,000 shares of ₹10 each at par. Application money ₹3, allotment ₹4, and first call ₹3. Calculate the total amount received on first call if all money is received.
A company issued 8,000 shares of ₹10 each at a premium of ₹2 per share. The issue was fully subscribed. Calculate the total amount received by the company.
Define 'share application money'.
Explain the difference between 'calls in arrears' and 'calls in advance'.
Explain the process of refunding excess application money in case of over-subscription.
Explain the term 'forfeiture of shares'.
If a company receives applications for 1,20,000 shares but only issues 1,00,000 shares, what is this situation called?
State the journal entry for the forfeiture of shares originally issued at par, for non-payment of final call.
State the journal entry for the transfer of application money to share capital account.
What is meant by the term 'issue of shares' in company accounts?
What is pro-rata allotment?
What is the accounting treatment for securities premium received on issue of shares?
What is the effect on share capital when shares are forfeited?
What is the maximum rate of securities premium that can be charged on issue of shares?
