Question

Net Asset of R.D.Co. for Purchase Consideration worth Rs. 2,00,000. At the time of absorption, the company has paid 16,000 equity shares each of Rs. 10 each at 10% premium, then remaining cash will be Answer A. O Rs. 24,000 B. Rs. 42,000 c. Rs. 40,000 D. Rs. 60,000​

Answer 1

Answer:

here is the answer:-

c. Rs. 40,000 is the correct answer..

Explanation:

Answer 2

Answer:

A. Rs 24,000

Explanation:

Net Assets of Raj Co. for Purchase Consideration worth Rs. 2,00,000.

At the time of absorption, the company has paid 16,000 equity shares each of Rs.10 each at a 10% premium.

Equity Shares = 16,000

Share Value = Rs 10

10 % premium

Market price = 10 + (10/100)10  = Rs 11

Therefore, Value of 16000 shares = 16,000 x 11 =  1,76,000

Remaining cash = 2,00,000 - 1,76,000= 24,000.

#SPJ3