Shares MCQ Quiz in मल्याळम - Objective Question with Answer for Shares - സൗജന്യ PDF ഡൗൺലോഡ് ചെയ്യുക

The correct answer is 2,800

Key Points Calls-in-arrears:

• "Calls-in-arrears" refers to an amount that has been called in respect of a share, but has not been paid before or on the specified date set for payment.
• The term "call in arrears" refers to any default in payment on a specified date.

Important Points Calculation of calls-in-arrears

For X holding 500 shares

X has not paid the first call and final call amount

Therefore,

 Call is arrears = (Number of shares held by X) x (Per share first call rate + Per share final call rate)

 Call is arrears = 500 x (2 + 2) = Rs. 2000

For Y holding 400 shares

Y has not paid only final call amount

Therefore,

 Call is arrears = (Number of shares held by Y) x (Per share final call rate)

 Call is arrears = 400 x 2 = Rs. 800

Total Amount of calls in arrears = 2000 + 800 = 2800.

Additional Information Journal entry for call money in arrears

  Calls-in-Arrear A/c                 Dr.

           To Relevant Call A/c

(Being recording of the calls in arrears)

The correct answer is All of the above are correct.

Key Points

• Issuance of shares to a vendor for consideration other than cash:
  • Can occur at par, at a discount, or at a premium depending on the agreed terms and negotiations between the company and the vendor.
  • At par: Shares issued at their nominal value.
  • At a discount: Shares issued below their nominal value, permissible under specific conditions and regulatory frameworks.
  • At a premium: Shares issued above their nominal value, often reflecting the added value of the asset or confidence in the company's future potential.

The correct answer is Rs. 6,000.

Important Points

Hence, Amount received on first call = Rs. 6,000.

The correct answer is Rs. 1,10,000.

Key Points

Amount Received on Share Application Account = 30,000 x 11 = Rs. 3,30,000

Amount due towards Share capital on 20,000 shares of Rs 11 (including premium of Re 1 per share) = 20,000 × 11 = 2,20,000 

Excess Money received on Share application refunded = Rs. 3,30,000 - 2,20,000 = Rs. 1,10,000

Important Points 

The correct answer is 80.

Key PointsPro-rata Allotment : Pro-rata allotment refers to the distribution of shares in proportion to the number of shares applied for. When a company makes a pro-rata allotment, it first applies the excess money received at the time of application to the allotment and then to call. Pro-rata allotment is done in case of oversubscription of shares.

Formula to calculate Allotted shares = Shares applied x Allotted shares/ Applied shares 

Important PointsRatio of pro rata allotment = 15,000:10,000 = 3:2

Hence, an applicant for 3 shares will receive 2 shares.

Mr. Kumar had applied for 120 shares, shares allotted to Mr. Kumar = 120 x 10,000/15,000 = 80 shares.

Right offering:

1. A rights offering is when a company issues to its existing shareholders a right to buy additional shares in the company.
2. The company offers its shareholder a specific number of shares at a special price.
3. The company will also set a time limit for the shareholder to buy these shares.
4. The shares are often offered at a discounted price to the existing shareholders.
5. In a rights offering, the subscription price at which each share may be offered is generally at a discount to the current market price.
6. Rights are often transferable, allowing the holder to sell them in the open market.

Number Of Right Shares: 1

Total Shares= Existing + New share = 5+1= 6

Value Of Right = (Number Of Right Shares / Total Shares) x (Market Value - Issue Price)

Value Of Right = (1/6) x (150-120)

∴ Value Of Right = 0.166667 x 30

∴ Value Of Right = Rs. 5

Alternatively,

Market Value Of 5 Existing Holdings = Rs. 150 x 5 = Rs. 750

Add: Issue Price Of 1 New Holding   = Rs. 120 x 1 = Rs. 120

∴ Value Of Total Holdings = 750 + 120 = Rs. 870

Value Of Each Share = 870/6 = Rs. 145

Value Of Right = Market Price - Average Price

Value Of Right = 150 - 145

∴Value Of Right = Rs. 5

Thus, option 1 is the correct answer.

General Reserve is the correct answer.

Key PointsGeneral Reserve:

• General Reserve is a part of the profits of the company that it chooses not to distribute as dividends but keep aside for future use.
• It is a reserve created out of profits earned by the company over the years.
• The company may use it to meet any future contingencies, expansion plans, or to pay off debts.
• General Reserve can be distributed among shareholders as it is a part of the profits of the company.

Additional Information

• Capital Reserve, is a reserve created out of capital profits and cannot be distributed among shareholders. It is used to write off capital expenses like the purchase of fixed assets, goodwill, etc.
• Revaluation Reserve is a reserve created when the value of assets is revalued and increased. This reserve cannot be distributed among shareholders, but it can be used to offset any future losses.

The correct answer is Capital Reserve Account.

 Key Points

• The corporation has shares that have been forfeited for sale. The corporation is required to dispose of the forfeited shares following their forfeiture.
• To reissue forfeited shares, the firm needs to pass a resolution at its board meeting. Reissuing forfeited shares amounts to the corporation merely selling its stock. These shares are not distributed by the corporation.

Important PointsJournal Entries for reissue of forfeited shares

Hence, the  balance of share forfeiture account is transferred to Capital Reserve Account.

The Correct Answer is Uncalled capital

Key Points

 Types of Share Capital

• Subscribed Capital - It is the capital subscribed by the public.
• Called up Capital - It is the capital called up for the payment by the company
• Uncalled capital - The difference between subscribed and called up capital is uncalled capital.

Additional Information

• Paid up capital - This is the capital called up by the company and paid up by the shareholders.
• Calls in arrears - Amount called up by the company but not paid up by the shareholders.
• Calls in advance - Amount paid up by the shareholders before the company make a call.

The correct answer is Rs. 700.

Key Points

Share Forfeiture: 

• The circumstance in which the allotted shares are cancelled by the issuing firm due to non-payment of the subscription amount as requested by the issuing company from the shareholder is referred to as forfeiture of shares.
• If a shareholder's shares are forfeited, the shareholder's rights and interests as a shareholder are lost, and the shareholder ceases to be a member of the organization.
• Some shareholders may be unable to pay installments, such as money allocation or call money. In such a case, consider the following:
• Their part will be forfeited, i.e., the shareholder's share would be cancelled.
• Apart from the premium entries already specified in the accounting records, all the entries related to the forfeited shares must have conversed.
• The amount is deducted from the share capital account.

Important Points