Question

Mithas Limited was formed with share capital of Rs. 50,00,000 divided into 50,000 shares ofRs.100 each. 9,000 shares were issued to the vendor as fully paid for purchase consideration of a furniture acquired. 30,000 shares were allotted in payment of cash on which Rs.70 per share was called and paid . State the amount of subscribed capital *

A) Rs. 50,00,000
B) Rs. 30,50,000
C) Rs. 30,00,000
D) Rs. 20,00,000​

Answer 1

Answer:

Option C

Rs. 30,00,000 is the correct answer

Answer 2

"C) Rs. 30,00,000"

Explanation:

Furniture a/c  [9000 x 100]              Dr    900000

             To Mithas limited a/c                                  900000

(Being Furniture purchased)

Mithas limited a/c [9000x100]         Dr    900000

             To Share Capital a/c                                  900000

(Being 50000 shares issued)

Bank a/c [30000x70]                       Dr   2100000

             To Share Allotment a/c                             2100000

(Being issue of allotment shares)

Share Allotment a/c [30000x70]    Dr   2100000

             To Share Capital a/c                                 2100000

(Being shares alloted for application)

Therefore,

       Subscribed shares = 2100000+900000 = 3000000