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When the shares are issued at premium and the premium amount has already received by the company. Later on, when such shares are forfeited.

  • a)
    Securities premium account should be debited

  • b)
    Securities premium account should be credited

  • c)
    Securities premium account should not be affected

  • d)
    None of the above.

Correct answer is option 'C'. Can you explain this answer?
Verified Answer
When the shares are issued at premium and the premium amount has alrea...
When the shares are issued at premium and the company has received that premium at the time of forfeiture the Premium A/c remains unchanged.
This all is because the company cannot demand the premium again on forfeiture of shares even when they have received the amount due on premium.
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Most Upvoted Answer
When the shares are issued at premium and the premium amount has alrea...
When the shares are issued at premium and the company has received that premium at the time of forfeiture the Premium A/c remains unchanged.
This all is because the company cannot demand the premium again on forfeiture of shares even when they have received the amount due on premium.
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Community Answer
When the shares are issued at premium and the premium amount has alrea...
Premium is extra money received by the for its good name earned so while forteiting company need to pay only face value of the share
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When the shares are issued at premium and the premium amount has already received by the company. Later on, whensuch shares are forfeited.a)Securities premium account should be debitedb)Securities premium account should be creditedc)Securities premium account should not be affectedd)None of the above.Correct answer is option 'C'. Can you explain this answer?
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When the shares are issued at premium and the premium amount has already received by the company. Later on, whensuch shares are forfeited.a)Securities premium account should be debitedb)Securities premium account should be creditedc)Securities premium account should not be affectedd)None of the above.Correct answer is option 'C'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about When the shares are issued at premium and the premium amount has already received by the company. Later on, whensuch shares are forfeited.a)Securities premium account should be debitedb)Securities premium account should be creditedc)Securities premium account should not be affectedd)None of the above.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for When the shares are issued at premium and the premium amount has already received by the company. Later on, whensuch shares are forfeited.a)Securities premium account should be debitedb)Securities premium account should be creditedc)Securities premium account should not be affectedd)None of the above.Correct answer is option 'C'. Can you explain this answer?.
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