CA Foundation Exam > CA Foundation Questions > Tree limited forfeited 500 shares of Rs.20 ea...
Start Learning for Free
Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will be
- a)3,500
- b)2,500
- c)3,000
- d)4,000
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount,...
Calculation of Amount Forfeited:
To calculate the amount forfeited, we need to determine the discount amount, allotment amount, and final call amount.
Discount Amount:
The shares were issued at a 5% discount, which means each share was issued at 95% of its face value.
Discount per share = 5% of Rs.20 = Rs.1
Discount for 500 shares = Rs.1 x 500 = Rs.500
Allotment Amount:
The allotment amount is the difference between the face value and the discount amount.
Allotment per share = Rs.20 - Rs.1 = Rs.19
Allotment for 500 shares = Rs.19 x 500 = Rs.9,500
Final Call Amount:
The final call amount is the sum of the final call and the allotment amount.
Final call per share = Rs.9 + Rs.5 = Rs.14
Final call for 500 shares = Rs.14 x 500 = Rs.7,000
Amount Forfeited:
The amount forfeited is the sum of the allotment and final call amounts, as the shares were forfeited for non-payment of both.
Amount forfeited = Allotment amount + Final call amount
Amount forfeited = Rs.9,500 + Rs.7,000
Amount forfeited = Rs.16,500
Amount Credited to Share Forfeiture Account:
The amount credited to the share forfeiture account is the amount forfeited, which is Rs.16,500. However, the options provided do not include this amount.
Correct Answer:
The correct answer is not provided in the options.
To calculate the amount forfeited, we need to determine the discount amount, allotment amount, and final call amount.
Discount Amount:
The shares were issued at a 5% discount, which means each share was issued at 95% of its face value.
Discount per share = 5% of Rs.20 = Rs.1
Discount for 500 shares = Rs.1 x 500 = Rs.500
Allotment Amount:
The allotment amount is the difference between the face value and the discount amount.
Allotment per share = Rs.20 - Rs.1 = Rs.19
Allotment for 500 shares = Rs.19 x 500 = Rs.9,500
Final Call Amount:
The final call amount is the sum of the final call and the allotment amount.
Final call per share = Rs.9 + Rs.5 = Rs.14
Final call for 500 shares = Rs.14 x 500 = Rs.7,000
Amount Forfeited:
The amount forfeited is the sum of the allotment and final call amounts, as the shares were forfeited for non-payment of both.
Amount forfeited = Allotment amount + Final call amount
Amount forfeited = Rs.9,500 + Rs.7,000
Amount forfeited = Rs.16,500
Amount Credited to Share Forfeiture Account:
The amount credited to the share forfeiture account is the amount forfeited, which is Rs.16,500. However, the options provided do not include this amount.
Correct Answer:
The correct answer is not provided in the options.
Free Test
FREE
| Start Free Test |
Community Answer
Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount,...
Total there are 500 shares and it is mentioned that each share is discounted @5% so 20×5%=1 . This means each share is discounted at Rs 1. we credit amount which is received...N here 6Rs is received so the solution is: 6×500=3000 3000-500=2500 ( Rs 1 discount on 500 shares each)
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer?
Question Description
Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer?.
Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer?.
Solutions for Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer?, a detailed solution for Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will bea)3,500b)2,500c)3,000d)4,000Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup