Company Accounts Questions

All of them are shown under the sub-heading 'Reserve and Surplus' except :

General conditions regulate the issue and redemption terms of debentures. Which of the following issue/redemption scenarios is NOT standard or valid in accounting practice?

Debenture Application & Allotment A/c Dr. 95,000Loss on Issue of Debentures A/c Dr. 10,000To 9% Debenture A/c 1,00,000To Premium on Redemption of Debentures A/c 5,000On the basis of the above entry, determine the rate of discount at which Rs. 1,00,000, 9% debentures of Rs. 100 each were issued if they were to be redeemed at a premium of 5%.

Minimum subscription is the minimum amount that, in the opinion of directors, must be raised to meet the needs of business operations of the company relating to: (A) The price of any property purchased, or to be purchased, which has to be met wholly or partly out of the proceeds of issue;(B) Preliminary expenses payable by the company and any commission payable in connection with the issue of shares;(C) Working capital;(D) Any other expenditure required for the usual conduct of business operations Choose the correct answer from the options given below:

The important steps in the procedure of share issue are :(A) The company issues the prospectus to the public.(B) The company has to get minimum subscription within 120 days from the date of the issue of the prospectus.(C) The prospective investors intending to subscribe the share capital of the company would make an application along with the application money.(D) Letters of allotment are sent to those whom the shares have been alloted, and letters of regret to those to whom no allotment has been made.Choose the correct sequence of steps from the options given below:

The director of Priya polymer Limited resolved that 200 equity shares of Rs. 100 each be forfeited for non-payment of the second and final call of Rs. 30 per share. Out of these, 150 shares were re-issued at Rs. 60 per share to Monit. The amount of capital reserve will be:

If a company issue Rs. 1,00,000, 9% debentures of Rs. 100 each at discount of 5% but redeemable at premium of 5% then what amount will be debited to Loss on Issue of Debentures Account?

G.S. Rai company ltd. purchased assets of the book value of Rs. 98,000 from another firm. It was agreed that purchase consideration be paid by issuing 11% debentures of Rs. 100 each. Assume debentures have been issued at discount of 20%Identify the number of debentures issued by the company to the vendor

While issuing the share capital for public subscription where there is no articles of association of its own, the following provisions of Table A will apply: (A) A period of one month must elapse between two calls.(B) The amount of call should not exceed 25% of the face value of the share.(C) A minimum of 7 days' notice is given to the shareholders to pay the amount.(D) Calls must be made on a uniform basis on all shares within the same class. Choose the correct answer from the options given below:

Based on the case study details provided, what is the actual number of debentures issued by XYZ Ltd. to Blue Prints Ltd. under the specified premium conditions?

Based on the case study details provided, when XYZ Ltd. pays out the purchase consideration via the allotment of debentures, the vendor account (Blue Prints Ltd. Account) will be:

Based on the case study details provided, how many debentures would XYZ Ltd. need to issue if the $12\%$ debentures (face value $\text{Rs. }100$ each) were issued at par instead of at a premium?

Based on the case study provided, which specific account—and with what amount—must be debited at the time XYZ Ltd. records the acquisition of the business?

Securities Premium Account can be used only for the following purposes:(A) To issue partly paid bonus shares to the extent not exceeding unissued share capital of the company;(B). Buy back of own shares.(C). To write-off the expenses of, or commission paid, or discount allowed on any securities of the company;(D). To pay premium on the redemption of preference shares or debentures of the company.Choose the correct answer from the options given below:

Jain and Co. purchased a machine from Young Life Machine Limited for $\text{Rs. }3,80,000$. As per the purchase agreement, $\text{Rs. }20,000$ was paid in cash and the balance was settled by the issue of shares of $\text{Rs. }100$ each at a premium of $20\%$. How many shares were issued by Jain and Co.?

Which of the following terms is alternatively used to describe the Registered Capital of a corporate entity?

Which of the following statements does NOT accurately describe a characteristic feature of a Company?

Arrange the following operational steps in the procedural sequence of public share issuance by a company:(A) Allotment of Shares(B) Calls in Arrears(C) Issue of Prospectus(D) Receipt of ApplicationsChoose the correct answer from the options given below:

Match the specific debenture categories in List-I with their operational meanings outlined in List-II:List-IList-II(A) Unsecured Debentures(I) These debentures are issued with a specified rate of interest.(B) Redeemable Debentures(II) These debentures do not have a specific charge on the assets of the company.(C) Specific Coupon Rate Debentures(III) These are those which are payable on the expiry of a specific period either in lump sum or in instalments during the life-time of the company.(D) Bearer Debentures(IV) The debentures which can be transferred by way of delivery and the company does not keep any record of the debentures.Choose the correct answer from the options given below:

Match the transactional descriptions in List-I with their appropriate accounting journal entries in List-II:List-IList-II(A) For Transfer of Application Money(I) Share Allotment A/c Dr. To Share Capital A/c(B) For Money Refunded on Rejected Application(II) Share Application A/c Dr. To Share Capital A/c(C) For Amount Due on Allotment(III) Share Application A/c Dr. To Bank A/c(D) For Receipt of Allotment Money(IV) Bank A/c Dr. To Share Allotment A/cChoose the correct option from the choices given below:

Match List-I with List-II concerning different types of corporate share capital definitions:List-I (Type of Capital)List-II (Definition)(A) Authorised Capital(i) It is that part of the subscribed capital which has been called up on the shares.(B) Issued Capital(ii) It is that part of the issued capital which has been actually subscribed by the public.(C) Subscribed Capital(iii) It is that part of the authorised capital which is actually issued to the public for subscription.(D) Called up Capital(iv) The amount of share capital which a company is authorised to issue by its Memorandum of Association.Choose the correct matching sequence from the options below:

Hari, the holder of $1200$ shares, failed to pay the amount due on the first call @ $\text{Rs. }2\text{/-}$ per share on the due date. He paid this amount along with the second and final call, which became due after $1$ month from the due date of the first call. According to Table F of the Companies Act, 2013, what interest will be charged from Hari on calls in arrears?

The profit on reissue of forfeited shares is transferred to which of the following accounts?

High Light India Ltd. invited applications for 30,000 Shares of Rs. 100 each at a premium of Rs. 20 per share payable as follows:On Application Rs. 40 (including Rs.10 premium)On Allotment Rs. 30 (including Rs.10 premium)On First Call Rs. 30On Second and Final Call Rs. 20 Applications were received for 40,000 shares and pro-rata allotment was made on the application for 35,000 share. Excess application money was utilised towards allotment.Rohan to whom 600 shares were allotted failed to pay the allotment money and his shares were forfeited immediately after allotment.Aman who applied for 1,050 shares failed to pay first call and his share were forfeited immediately after first Call.Second and final call was made. All the money due on second call have been received.Of the shares forfeited, 1,000 share were reissued as fully paid-up for Rs. 80 per share, which included the whole of Aman's shares. Allotment money received in advanced alongwith application is _______________

Which of the following will be included in the journal entry when debentures are issued to a vendor at a discount for a purchase consideration other than cash?(A) % Debenture A/c is credited(B) Vendor A/c is debited(C) Discount on Issue of Debenture A/c is debited(D) Securities Premium Reserve A/c is creditedChoose the correct answer from the options given below:

Arrange the given components of Share Capital in the correct hierarchical sequence as they appear within the Notes to Accounts on Share Capital in a corporate Balance Sheet:(A) Issued Capital(B) Subscribed and fully paid(C) Subscribed and not fully paid(D) Authorised capitalChoose the correct answer from the options given below:

While issuing share capital for public subscription, the minimum application money should be at least _____% of the nominal face value of the share according to the Companies Act, 2013.

What is the alternate name for "Registered Capital" of a company?

From the point of view of Tenure, debentures can be classified into which of the following types?(A) Redeemable Debentures(B) Non-Convertible Debentures(C) Perpetual Debentures(D) Registered DebenturesChoose the correct answer from the options given below:

To write off a Discount on the Issue of Debentures, which of the following journal entries is recorded?

If the premium amount has not been received in respect of shares being forfeited, the Securities Premium Reserve Account:

Zomato Ltd. decided to offer 10% of its issued capital to its employees at a price lower than its market value. The scheme adopted by Zomato Ltd. is known as an:

'Money received against share warrants' is to be disclosed as a separate line item under which main head of a company's Balance Sheet?

Match List-I with List-II:List-IList-II(A) Calls in Advance A/c Dr.To Particular Call A/c(I) For Interest due on Calls in Advance(B) Interest on Calls in Advance A/c Dr.To Sundry Shareholders' A/c(II) For Interest Paid on Calls in Advance(C) Sundry Shareholders' A/c Dr.To Bank A/c(III) Calls in advance adjusted with the call money due(D) Bank A/c Dr.To Calls in Arrears A/cTo Interest on Calls in Arrears A/c(IV) Calls in arrears received with interestChoose the correct answer from the options given below:

According to Table F of Schedule I of the Companies Act, 2013, the amount called up on any single call should not exceed ________ of the face value of shares.

Calculate the amount of yearly interest payable on $9\%$ debentures ($10,000$ debentures of Rs. $100$) issued as collateral security.

High Light India Ltd. invited applications for 30,000 Shares of Rs. 100 each at a premium of Rs. 20 per share payable as follows:On Application Rs. 40 (including Rs.10 premium)On Allotment Rs. 30 (including Rs.10 premium)On First Call Rs. 30On Second and Final Call Rs. 20 Applications were received for 40,000 shares and pro-rata allotment was made on the application for 35,000 share. Excess application money was utilised towards allotment.Rohan to whom 600 shares were allotted failed to pay the allotment money and his shares were forfeited immediately after allotment.Aman who applied for 1,050 shares failed to pay first call and his share were forfeited immediately after first Call.Second and final call was made. All the money due on second call have been received.Of the shares forfeited, 1,000 share were reissued as fully paid-up for Rs. 80 per share, which included the whole of Aman's shares. Choose journal entries in the books of High Light India Ltd on receiving Application money :

High Land India Ltd. invited applications for 50,000 Shares of Rs. 100 each per share. Applications were received for 70,000 shares and pro-rata allotment was made on the application for 50,000 shares. Rohan to whom 600 shares were allotted failed to pay the allotment money and his shares were forfeited immediately after allotment. Of the shares forfeited, 500 shares were reissued as fully paid-up for Rs. 80 per share.The correct order to be followed for recording these entries will be:(A) Forfeiture of shares(B) Calculation of amount received on allotment(C) Adjustment of excess money received on application towards allotment(D) Reissue of sharesChoose the correct answer from the options given below:

It is available only for the creditors on winding up of the company.

Arrange the following in the correct sequence related to the issue of shares:(A) Letters of allotment and letters of regret are sent(B) Prospective investors make an application along with the application money(C) The company issues the prospectus to the public(D) Subsequent installments are calledChoose the correct answer from the options given below:

Convertible debentures cannot be issued at a discount if:

On January 1, 2024, the Director of X Ltd. issued for public subscription 50,000 equity shares of Rs. 10 each at Rs. 12 per share payable, Rs. 5 on application (including premium), Rs. 4 on allotment and the balance on call on May 01, 2024. The issue was closed on February 10, 2024 by which date applications for 70,000 shares were received. Of the cash received Rs. 40,000 was returned and Rs. 60,000 was applied to the amount due on allotment, the balance of which was paid on February 16, 2024. All the shareholders paid the call due on May 01, 2024 with the exception of an allottee of 500 shares. These shares were forfeited on September 29, 2024 and reissued as fully paid at Rs. 8 per share on November 01, 2024. The company, as a matter of policy, does not maintain a calls-in-arrears account.On Forfeiture of 500 shares for non-payment of call money, what amount will be credited to Shares Forfeiture Account?

On January 1, 2024, the Director of X Ltd. issued for public subscription 50,000 equity shares of Rs. 10 each at Rs. 12 per share payable, Rs. 5 on application (including premium), Rs. 4 on allotment and the balance on call on May 01, 2024. The issue was closed on February 10, 2024 by which date applications for 70,000 shares were received. Of the cash received Rs. 40,000 was returned and Rs. 60,000 was applied to the amount due on allotment, the balance of which was paid on February 16, 2024. All the shareholders paid the call due on May 01, 2024 with the exception of an allottee of 500 shares. These shares were forfeited on September 29, 2024 and reissued as fully paid at Rs. 8 per share on November 01, 2024. The company, as a matter of policy, does not maintain a calls-in-arrears account.What is the amount of Profit on reissue of Forfeited Shares Accounts transferred to capital reserve?

On January 1, 2024, the Director of X Ltd. issued for public subscription 50,000 equity shares of Rs. 10 each at Rs. 12 per share payable, Rs. 5 on application (including premium), Rs. 4 on allotment and the balance on call on May 01, 2024. The issue was closed on February 10, 2024 by which date applications for 70,000 shares were received. Of the cash received Rs. 40,000 was returned and Rs. 60,000 was applied to the amount due on allotment, the balance of which was paid on February 16, 2024. All the shareholders paid the call due on May 01, 2024 with the exception of an allottee of 500 shares. These shares were forfeited on September 29, 2024 and reissued as fully paid at Rs. 8 per share on November 01, 2024. The company, as a matter of policy, does not maintain a calls-in-arrears account.What is the amount of excess application money credited to share allotment and money refunded on rejected application in totality?

On January 1, 2024, the Director of X Ltd. issued for public subscription 50,000 equity shares of Rs. 10 each at Rs. 12 per share payable, Rs. 5 on application (including premium), Rs. 4 on allotment and the balance on call on May 01, 2024. The issue was closed on February 10, 2024 by which date applications for 70,000 shares were received. Of the cash received Rs. 40,000 was returned and Rs. 60,000 was applied to the amount due on allotment, the balance of which was paid on February 16, 2024. All the shareholders paid the call due on May 01, 2024 with the exception of an allottee of 500 shares. These shares were forfeited on September 29, 2024 and reissued as fully paid at Rs. 8 per share on November 01, 2024. The company, as a matter of policy, does not maintain a calls-in-arrears account.What amount will be credited to Equity Share Application Account on February 10, 2024?

On January 1, 2024, the Director of X Ltd. issued for public subscription 50,000 equity shares of Rs. 10 each at Rs. 12 per share payable, Rs. 5 on application (including premium), Rs. 4 on allotment and the balance on call on May 01, 2024. The issue was closed on February 10, 2024 by which date applications for 70,000 shares were received. Of the cash received Rs. 40,000 was returned and Rs. 60,000 was applied to the amount due on allotment, the balance of which was paid on February 16, 2024. All the shareholders paid the call due on May 01, 2024 with the exception of an allottee of 500 shares. These shares were forfeited on September 29, 2024 and reissued as fully paid at Rs. 8 per share on November 01, 2024. The company, as a matter of policy, does not maintain a calls-in-arrears account.On Reissue of 500 forfeited shares as fully paid at Rs. 8 per share, what amount will be debited to Shares Forfeiture Account?

The following journal entry appears in the books of X Co. Ltd.Bank A/c Dr. 4,75,000Loss on issue of debenture A/c Dr. 75,000To 12% Debentures A/c 5,00,000To Premium on Redemption of Debenture A/c 50,000In this case the debentures have been issued at a discount of 5% . What is the rate of premium on redemption of debentures?

A company can accept calls in advance, if authorised by:

Which of the following statements are wrong about debentures?(A) Debenture is a part of owned capital.(B) The debentures cannot be issued at a discount of more than 10% of the face value.(C) Debentures cannot be converted into shares.(D) Redeemable debentures are those debentures, which are payable on the expiry of a specific period.Choose the correct answer from the options given below:

Which of the following is NOT a characteristic of a corporate company structure?

Nominal share capital is defined as:

Which of the following statements are correct?(A) A company is an artificial person.(B) Company's shares are generally transferable.(C) Paid-up capital can exceed called-up capital.(D) The part of capital which is called up only on winding up is called reserve capital.Choose the correct answer from the options given below:

Match List-I with List-II:List-IList-II(A) Authorised Capital(I) Capital which is actually issued to the public for subscription including the shares allotted to vendors and the signatories to the company's memorandum.(B) Issued Capital(II) It is that part of the subscribed capital which has been called up on the shares, i.e., what the company has asked the shareholders to pay.(C) Subscribed Capital(III) The amount of share capital which a company is authorised to issue by its Memorandum of Association.(D) Called up Capital(IV) It is that part of the issued capital which has been actually subscribed by the public.Choose the correct answer from the options given below:

Shares can be forfeited:

Debentures are convertible into which of the following?

Oversubscription is a situation where the:

Match List-I with List-II:List-I(A) Share capital(B) Reserves and surplus(C) Reserve capital(D) Current liabilitiesList-II(I) Will be called at the time of winding up(II) Calls in advance(III) Subscribed but not fully paid(IV) Sinking fundChoose the correct answer from the options given below:

Arrange the following in the correct order of presentation/classification of share capital:(A) Subscribed Capital(B) Issued Capital(C) Authorised Capital(D) Paid-up Capital(E) Called-up CapitalChoose the correct answer from the options given below:

Arrange the following steps in the correct sequence of the life of a company:(A) Commencement of Business(B) Incorporation(C) Promotion(D) FloatationChoose the correct answer from the options given below:

Which of the following debentures do not have a specific charge on the assets of the company?

If a delay occurs beyond $8$ days in refunding the subscription amount, failing to gather the minimum subscription, from the date of closure of the subscription list, the company shall be liable for interest at the rate of:

$400$ shares of $\text{₹ }50$ each issued at par were forfeited for non-payment of final call of $\text{₹ }10$ per share. These shares were reissued at $\text{₹ }45$ per share as fully paid-up. The amount transferred to capital reserve is:

Match List-I with List-II and choose the correct answer from the options given below:List-I (Name of account to be debited or credited, when shares are forfeited)(A) Share Capital Account(B) Share Forfeited Account(C) Calls-in-arrears Account(D) Securities Premium AccountList-II (Amount to be debited or credited)(I) Debited with amount not received(II) Credited with amount not received(III) Credited with amount received towards share capital(IV) Debited with amount called up

\textbf{Case Study Description:}Review the share allotment data for Eicher Ltd. to answer the questions:Eicher Ltd. issued $50,000$ equity shares of $\text{Rs. }10$ each at a premium of $\text{Rs. }5$ per share, payable as follows:\begin{itemize}\item On Application: $\text{Rs. }3$ per share\item On Allotment: $\text{Rs. }5$ per share (including $\text{Rs. }3$ Premium)\item On First Call: $\text{Rs. }5$ per share (including $\text{Rs. }2$ Premium)\item On Final Call: Balance amount\end{itemize}Applications were received for $72,000$ shares. The Directors allotted $50,000$ shares on a pro-rata basis to applicants who applied for $65,000$ shares, rejecting the remaining applications. The excess application money received was adjusted against the amount due on allotment. All amounts due were received except for the first call from Rahul, who had applied for $2,600$ shares. His shares were forfeited immediately after the non-payment of the first call. These forfeited shares were later reissued at the minimum possible reissue price.Before a company can legally forfeit a shareholder's shares for non-payment of calls, which corporate body is authorized and required to issue the formal forfeiture notice?

\textbf{Case Study Description:}Review the share allotment data for Eicher Ltd. to answer the questions:Eicher Ltd. issued $50,000$ equity shares of $\text{Rs. }10$ each at a premium of $\text{Rs. }5$ per share, payable as follows:\begin{itemize}\item On Application: $\text{Rs. }3$ per share\item On Allotment: $\text{Rs. }5$ per share (including $\text{Rs. }3$ Premium)\item On First Call: $\text{Rs. }5$ per share (including $\text{Rs. }2$ Premium)\item On Final Call: Balance amount\end{itemize}Applications were received for $72,000$ shares. The Directors allotted $50,000$ shares on a pro-rata basis to applicants who applied for $65,000$ shares, rejecting the remaining applications. The excess application money received was adjusted against the amount due on allotment. All amounts due were received except for the first call from Rahul, who had applied for $2,600$ shares. His shares were forfeited immediately after the non-payment of the first call. These forfeited shares were later reissued at the minimum possible reissue price.Identify the ratio in which the shares were allotted on a pro-rata basis:

\textbf{Case Study Description:}Review the share allotment data for Eicher Ltd. to answer the questions:Eicher Ltd. issued $50,000$ equity shares of $\text{Rs. }10$ each at a premium of $\text{Rs. }5$ per share, payable as follows:\begin{itemize}\item On Application: $\text{Rs. }3$ per share\item On Allotment: $\text{Rs. }5$ per share (including $\text{Rs. }3$ Premium)\item On First Call: $\text{Rs. }5$ per share (including $\text{Rs. }2$ Premium)\item On Final Call: Balance amount\end{itemize}Applications were received for $72,000$ shares. The Directors allotted $50,000$ shares on a pro-rata basis to applicants who applied for $65,000$ shares, rejecting the remaining applications. The excess application money received was adjusted against the amount due on allotment. All amounts due were received except for the first call from Rahul, who had applied for $2,600$ shares. His shares were forfeited immediately after the non-payment of the first call. These forfeited shares were later reissued at the minimum possible reissue price.Determine the amount to be transferred to the Capital Reserve Account upon the reissue of Rahul's shares:

\textbf{Case Study Description:}Review the share allotment data for Eicher Ltd. to answer the questions:Eicher Ltd. issued $50,000$ equity shares of $\text{Rs. }10$ each at a premium of $\text{Rs. }5$ per share, payable as follows:\begin{itemize}\item On Application: $\text{Rs. }3$ per share\item On Allotment: $\text{Rs. }5$ per share (including $\text{Rs. }3$ Premium)\item On First Call: $\text{Rs. }5$ per share (including $\text{Rs. }2$ Premium)\item On Final Call: Balance amount\end{itemize}Applications were received for $72,000$ shares. The Directors allotted $50,000$ shares on a pro-rata basis to applicants who applied for $65,000$ shares, rejecting the remaining applications. The excess application money received was adjusted against the amount due on allotment. All amounts due were received except for the first call from Rahul, who had applied for $2,600$ shares. His shares were forfeited immediately after the non-payment of the first call. These forfeited shares were later reissued at the minimum possible reissue price.Calculate the amount credited to the Bank account on account of the refund sent to rejected applicants:

\textbf{Case Study Description (Questions 46 to 50):}Review the share allotment data for Eicher Ltd. to answer the questions:Eicher Ltd. issued $50,000$ equity shares of $\text{Rs. }10$ each at a premium of $\text{Rs. }5$ per share, payable as follows:\begin{itemize}\item On Application: $\text{Rs. }3$ per share\item On Allotment: $\text{Rs. }5$ per share (including $\text{Rs. }3$ Premium)\item On First Call: $\text{Rs. }5$ per share (including $\text{Rs. }2$ Premium)\item On Final Call: Balance amount\end{itemize}Applications were received for $72,000$ shares. The Directors allotted $50,000$ shares on a pro-rata basis to applicants who applied for $65,000$ shares, rejecting the remaining applications. The excess application money received was adjusted against the amount due on allotment. All amounts due were received except for the first call from Rahul, who had applied for $2,600$ shares. His shares were forfeited immediately after the non-payment of the first call. These forfeited shares were later reissued at the minimum possible reissue price.Identify the correct journal entry to record the forfeiture of Rahul's shares:

Which of the following combinations for the issue and redemption of debentures is not practically possible or permissible in general accounting?

According to regulatory guidelines, receiving the minimum subscription of $90\%$ of the entire public issue must be completed within how many days from the date of issue of the prospectus?

A company failed to receive $\text{Rs }2,00,000$ on First and final Call. Interest on calls in arrears is charged according to 'Table F' at:

High Light India Ltd. invited applications for 30,000 Shares of Rs. 100 each at a premium of Rs. 20 per share payable as follows:On Application Rs. 40 (including Rs.10 premium)On Allotment Rs. 30 (including Rs.10 premium)On First Call Rs. 30On Second and Final Call Rs. 20 Applications were received for 40,000 shares and pro-rata allotment was made on the application for 35,000 share. Excess application money was utilised towards allotment.Rohan to whom 600 shares were allotted failed to pay the allotment money and his shares were forfeited immediately after allotment.Aman who applied for 1,050 shares failed to pay first call and his share were forfeited immediately after first Call.Second and final call was made. All the money due on second call have been received.Of the shares forfeited, 1,000 share were reissued as fully paid-up for Rs. 80 per share, which included the whole of Aman's shares. Money received on First Call is

High Light India Ltd. invited applications for 30,000 Shares of Rs. 100 each at a premium of Rs. 20 per share payable as follows:On Application Rs. 40 (including Rs.10 premium)On Allotment Rs. 30 (including Rs.10 premium)On First Call Rs. 30On Second and Final Call Rs. 20 Applications were received for 40,000 shares and pro-rata allotment was made on the application for 35,000 share. Excess application money was utilised towards allotment.Rohan to whom 600 shares were allotted failed to pay the allotment money and his shares were forfeited immediately after allotment.Aman who applied for 1,050 shares failed to pay first call and his share were forfeited immediately after first Call.Second and final call was made. All the money due on second call have been received.Of the shares forfeited, 1,00,0 share were reissued as fully paid-up for Rs. 80 per share, which included the whole of Aman's shares. Rohan to whom 600 shares were allotted must have applied for:

High Light India Ltd. invited applications for 30,000 Shares of Rs. 100 each at a premium of Rs. 20 per share payable as follows:On Application Rs. 40 (including Rs.10 premium)On Allotment Rs. 30 (including Rs.10 premium)On First Call Rs. 30On Second and Final Call Rs. 20 Applications were received for 40,000 shares and pro-rata allotment was made on the application for 35,000 share. Excess application money was utilised towards allotment.Rohan to whom 600 shares were allotted failed to pay the allotment money and his shares were forfeited immediately after allotment.Aman who applied for 1,050 shares failed to pay first call and his share were forfeited immediately after first Call.Second and final call was made. All the money due on second call have been received.Of the shares forfeited, 1,000 share were reissued as fully paid-up for Rs. 80 per share, which included the whole of Aman's shares. Amount recieved on allotment:

Steps for Forfeiture of Shares-(A) Issue of Prospectus(B) Shares Forfeiture(C) Receipt of Application(D) Allotment of SharesChoose the correct answer from the options given below:

Rahul Limited purchased building from Handa Limited for $\text{Rs. }5,40,000$ and the payment is to be made by the issue of shares of $\text{Rs. }100$ each. The number of shares to be issued at premium of $20\%$ is:

Shares can be forfeited :

Excess value of net assets over purchase consideration at the time of purchase of business is credited to

Match List-I with List-IIList-IList-II(A) Secured Debentures(II) Debentures where a charge is created on the assets of the company for the purpose of payment in case of default.(B) Unsecured Debentures(IV) Debentures do not have a specific charge on the assets of the company.(C) Redeemable Debentures(I) Which are payable on the expiry of the specific period either in lump sum or in instalments during the life time of the company.(D) Irredeemable Debentures(III) These debentures are repayable on the winding-up of a company or on the expiry of a long period.Choose the correct answer from the options given below:

Arrange the following capitals in correct sequence as they appears in notes to account-(A) Subscribed and Not Fully paid-up(B) Subscribed and Fully paid-up(C) Issued Capital(D) Nominal CapitalChoose the correct answer from the options given below:

Match List-I with List-IIList-IList-II(A) Issued Capital(IV) It is that part of the authorised capital which is actually issued to the public for subscription(B) Uncalled Capital(III) That portion of the subscribed capital which has not yet been called up.(C) Reserve Capital(II) Capital which can be called only in the event of winding up of the company.(D) Subscribed Capital(I) It is that part of the issued capital which has been actually subscribed by the public.Choose the correct answer from the options given below:

Which combination of following statements are Incorrect (False) about debentures-(A) Debenture is a part of owned capital.(B) The payment of interest on debentures is a charge on the profits of the company.(C) The debentures cannot be issued at a discount of more than 10% of the face value.(D) Debentures cannot be converted into shares.(E) Redeemable debentures are those debentures, which are payable on the expiry of the specific period.Choose the correct answer from the options given below:

In a company's Balance Sheet, the balance of the "Share Forfeiture Account" is presented under which main head/sub-item?

Match List-I with List-II based on company share capital terminology:List-IList-II(A) Reserve Capital(I) That portion of the subscribed capital which has not yet been called up.(B) Uncalled Capital(II) It is that part of the issued capital which has been actually subscribed by the public.(C) Paid-up Capital(III) A company may reserve a portion of its uncalled capital to be called only in the event of winding up of the company.(D) Subscribed Capital(IV) It is that portion of the called-up capital which has been actually received from the shareholders.Choose the correct answer from the options given below:

ABC Ltd. issued $3,000$, $14\%$ Debentures of $\text{Rs. }100$ each at a discount of $5\%$ on April 1, 2023. What is the total discount amount on the issue of these debentures?

When debentures are issued at a discount, under which of the following types is the difference between their nominal value and the issue price explicitly treated as the total amount of interest over their tenure?

Consider the following statements regarding a joint-stock company:(A) A company's shares are generally freely transferable.(B) Shareholders of a company are personally liable for the acts of the company.(C) The director of a company must always be a shareholder.(D) Paid-up capital can exceed called-up capital.Note: This question was dropped from the official key due to errors in statement designs. Let's evaluate the correct conceptual stance.

Arrange the following stages of share capital transactions in their correct chronological operational sequence:(A) Share Allotment(B) Share Application(C) Share forfeiture(D) Share CallChoose the correct answer from the options given below:

The following journal entry appears in the books of X Co. Ltd.:
$$\begin{array}{llcc}\text{Bank A/c}& \text{Dr.}& 4,75,000& \\ \text{Loss on issue of debenture A/c}& \text{Dr.}& 75,000& \\ \text{To }12\%\text{ Debentures A/c}& & & 5,00,000\\ \text{To Premium on Redemption of Debenture A/c}& & & 50,000\end{array}$$
Based on this entry, the debentures have been issued at a discount rate of:

When debentures are issued at par and are redeemable at a premium, the premium payable on redemption is debited to which account at the time of issue?

Which section of the Indian Companies Act, 2013 clarifies the legal classification of share capital into Equity shares and Preference shares?

$X$ Co. Ltd. purchased assets worth Rs. $28,80,000$. It issued debentures of Rs. $100$ each at a discount of $4\%$ in full satisfaction of the purchase consideration. The number of debentures issued to vendors is:

Arrange the steps for the public issue of shares in the correct chronological order:(A) Allotment of shares(B) Issue of Prospectus(C) Share first call(D) Receipt of ApplicationsChoose the correct answer from the options given below: