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X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:
Category
1
Shares applied
50,000
50,000
50,000
Shares allotted
35,000
40,000
10,000
90,000
3,30,000
20,000
20,000
Prepare the statement showing the adjustment of application money received
60,000
IV
V
VI
(A) If excess Application money was adjusted towards sum due on allotment,
(B) If excess application money was adjusted towards other sums due on shares.?
Most Upvoted Answer
X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 o...
Statement of Adjustment of Application Money
In this scenario, X Ltd. invited applications for 2,00,000 shares at a price of INR 10 each, with payments structured across three stages: application, allotment, and call. Applications were received for 6,55,000 shares, necessitating an adjustment of application money.
Application and Allotment Summary
- Total shares applied: 6,55,000
- Total shares allotted: 2,00,000
- Application money received:
- 6,55,000 shares x 2 = INR 13,10,000
- Total application money for allotted shares:
- 2,00,000 shares x 2 = INR 4,00,000
Excess Application Money
- Excess application money = Total application money received - Application money for allotted shares
- Excess = 13,10,000 - 4,00,000 = INR 9,10,000
Adjustment Scenarios
1. If Excess Application Money is Adjusted Towards Allotment:
- Total amount due on allotment for 2,00,000 shares = 2,00,000 x 5 = INR 10,00,000
- Application money adjustments:
- 9,10,000 from excess application money towards allotment
- Remaining due on allotment = 10,00,000 - 9,10,000 = INR 90,000
- Total amount due for the allotment post-adjustment = INR 90,000
2. If Excess Application Money is Adjusted Towards Other Sums Due:
- Total calls due for 2,00,000 shares = 2,00,000 x 3 = INR 6,00,000
- Application money adjustments:
- 9,10,000 from excess application money towards calls
- Remaining due on calls = 6,00,000 - 9,10,000 = INR 3,10,000 (credit balance)
Conclusion
- In both scenarios, the excess application money must be carefully adjusted to ensure accurate accounting, either reducing the amount due at allotment or providing a credit for future calls. This ensures that the company's financial reporting remains transparent and accurate.
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X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.?
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X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.?.
Solutions for X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.? in English & in Hindi are available as part of our courses for UPSC. Download more important topics, notes, lectures and mock test series for UPSC Exam by signing up for free.
Here you can find the meaning of X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.? defined & explained in the simplest way possible. Besides giving the explanation of X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.?, a detailed solution for X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.? has been provided alongside types of X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.? theory, EduRev gives you an ample number of questions to practice X Ltd. invited applicant for 2,00,000 shares of 10 each payable as 2 on applications, 5 on allotment &3 on call. Applications for 6,55,000 shares were received & the allotment was made as follows:Category1Shares applied50,00050,00050,000Shares allotted35,00040,00010,00090,000 3,30,00020,00020,000Prepare the statement showing the adjustment of application money received60,000IVVVI(A) If excess Application money was adjusted towards sum due on allotment,(B) If excess application money was adjusted towards other sums due on shares.? tests, examples and also practice UPSC tests.
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