Question

A company has issued 20,000 equity shares of Rs.10 each, at a premium of 10%, to redeem 30,000 preference shares of Rs. 10 each. The amount to be transferred to Capital Redemption Reserve is(A)Rs. 2,00,000(B)Rs. 2,20,000(C)Rs. 1,00,000(D)Rs. 1,50,000​

Answer 1

Answer:

A )2,00,000

Explanation:

because we can only transfer the face value of the shares