R Ltd purchased a building from X Infra for Rs. 6,00,000 and the payment is to be made by the issue of shares for Rs. 100 each at a premium of 20\% . - CUET Accountancy MCQ CUET Accountancy 2025 3 June Shift 1 2026 | ExamTest.live

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R Ltd purchased a building from X Infra for Rs. 6, 00, 000 and the payment is to be made by the issue of shares for Rs. 100 each at a premium of 20% . Calculate the number of shares to be issued.

Solution & Step-by-step Explanation

Given parameters:Purchase Consideration = Rs. 6, 00, 000 Face Value per share = Rs. 100 Securities Premium = 20% of Rs. 100 = Rs. 20 Issue Price per share = Face Value + Premium = 100 + 20 = Rs. 120 The formula to determine the total number of shares to be issued is: Number of Shares = \frac{Purchase Consideration}{Issue Price per Share} Number of Shares = \frac{6 , 00 , 000}{120} = 5, 000 shares

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R Ltd purchased a building from X Infra for Rs. 6, 00, 000 and the payment is to be made by the issue of shares for Rs. 100 each at a premium of 20% . Calculate the number of shares to be issued.

5000 shares

6000 shares

10000 shares

60000 shares

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