Raj Ltd. was registered with 70,000 equity shares. They issued 40,000 equity shares @ 10 each payable as follow :On Application Rs. 4 per shareOn Allo - Accountancy MCQ CUET Accountancy 2022 23 Aug Shift 2 PYQs 2026 | ExamTest.live

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Raj Ltd. was registered with 70, 000 equity shares. They issued 40, 000 equity shares @ 10 each payable as follow :On Application Rs. 4 per shareOn Allotment Rs. 3 per shareand Balance on 2 callsThe issue was over subscribed by 50, 000 shares. The directors decided upon making prorata allotment to 60, 000 shares while remaining were returned.The portion of capital which the company does not issue to the public is known as :

Solution & Step-by-step Explanation

The total capital authorized by the Memorandum of Association is Authorised Capital. The part of the Authorised Capital which is offered to the public for subscription is Issued Capital. The portion which is not currently offered to the public is called Unissued Capital.

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Raj Ltd. was registered with 70, 000 equity shares. They issued 40, 000 equity shares @ 10 each payable as follow :On Application Rs. 4 per shareOn Allotment Rs. 3 per shareand Balance on 2 callsThe issue was over subscribed by 50, 000 shares. The directors decided upon making prorata allotment to 60, 000 shares while remaining were returned.The portion of capital which the company does not issue to the public is known as :

Authorised capital

Paid up capital

Uncalled capital

Unissued Capital

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