Question

Company issued shares of * 100 at 10% premium to vendor for the purcha
assets of rs.5,50,000 from him. Then number of share
​

Answer 1

Answer:

5000 shares

Explanation:

Price of one share at premium = Rs100 + 10% of Rs100

                                                   = Rs100+Rs10

                                                   = Rs110

Value of assets = Rs5,50,000

Therefore,

Number of Shares = Value of assets ÷ Price of one share at premium

                              = Rs5,50,000 ÷ Rs110

                              = 5,000 shares