PQR Ltd. issued 40,000 Equity shares of Rs. 10 each at par payable Rs. 3 on application, Rs. 4 on allotment and balance on first and final call. Applications were received for 1,10,000 shares. Applications for 20,000 shares were refused and allotment was made prorata to remaining applicants. Amount received on allotment is:

Applications retained for pro-rata allotment = 1,10,000 - 20,000 = 90,000 shares.Shares allotted = 40,000 shares.Application money received on 90,000 shares = 90,000 $\times$ 3 = 2,70,000.Application money transferred to share capital = 40,000 $\times$ 3 = 1,20,000.Excess application money adjusted on allotment = 2,70,000 - 1,20,000 = 1,50,000.Allotment money due on 40,000 shares = 40,000 $\times$ 4 = 1,60,000.Amount received on allotment = 1,60,000 - 1,50,000 (adjusted) = Rs. 10,000.