Practice question
Question
The following amounts were payable on the issue of shares by a company: Rs. 3 on the application, Rs. 3 on the allotment, Rs. 2 on the first call, and Rs. 2 on the final call. X holding 500 shares paid only application and allotment money, whereas Y holding 400 shares did not pay a final call. The amount of calls-in-arrear will be:
Explanation
2,800 company accounts correct; share issue forfeiture pro-rata per Companies Act.
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