On first April authorised capital of 1 crore divided into 2 lakh equit...
Company Overview
The company has an authorized capital of 1 crore, divided into 2 lakh equity shares of Rs. 50 each. On April 1, the company issued an invitation to apply for 1,80,000 equity shares at Rs. 50 each.
Share Subscription Details
- The issue was fully subscribed, indicating strong investor interest.
- The application amount was Rs. 15 per share.
- Allotment amount was Rs. 20 per share.
Financial Implications
- Total shares issued: 1,80,000
- Amount collected from applications: 1,80,000 shares x Rs. 15 = Rs. 27,00,000
- Amount collected from allotment: 1,80,000 shares x Rs. 20 = Rs. 36,00,000
Calls Not Made
- The company did not make the final call, which means that the remaining amount of Rs. 15 per share has not been collected.
- As a result, the total outstanding amount from the shares issued remains uncollected.
Conclusion
- The decision not to make the final call indicates a strategic choice by the company, possibly to maintain cash reserves or due to market conditions.
- This situation requires careful monitoring of the company’s liquidity and shareholder relations, as unpaid calls can affect future funding and operational capabilities.
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