Find the value of Right per share if a company offer to issue $1$ share of $R s . 100$ to holder of $4$ shares at $R s . 120$ , given that the market price of the shares is $R s . 180$ per share.

R s . 16

No worries! We‘ve got your back. Try BYJU‘S free classes today!

R s . 20

No worries! We‘ve got your back. Try BYJU‘S free classes today!

R s . 12

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

R s . 18

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is C $R s . 12$
Right per share = market price - issue price
---------------------------------------
No. of shares
= 180 - 120
------------------
4 + 1
= Rs-12 per share

Suggest Corrections

Similar questions

Q. 'A' Ltd acquires 'B' Ltd and agrees to issue 3 shares of Rs. 10 each, Rs. 9 paid up and the market value of Rs.15 per share for every 5 shares in 'B' Ltd. If B Ltd has 100000 shares of Rs.10 each, Rs.5 paid up and market value Rs 8 per shares therefore, the amount of purchase consideration is _______________.

A company forfeited 100 shares of Rs 10 each, Rs 7.50 per share called up on which Rs 5 per share had been paid. Directors decided to re-issue all the forfeited shares to B as Rs 7.50 paid up for Rs 7 each. Pass the necessary Journal entries.

Q. Arushi buys Rs.

100

shares at Rs.

20

premium company paying

15

%

dividend . Find the market value of

200

shares.

Ashoka Limited Company which had issued equity shares of Rs 20 each at a discount of Rs 4 per share, forfeited 1,000 shares for non-payment of final call of Rs 4 per share. 400 of the forfeited shares are reissued at Rs 14 per share out of the remaining shares of 200 shares reissued at Rs 20 per share. Give journal entries for the forfeiture and reissue of shares and show the amount transferred to capital reserve and the balance in Share Forfeiture Account.

Q. A limited Company forfeited 100 equity shares of the face value of Rs 10 each, Rs 6 per share called up, for non payment of first call of Rs 2 per share. The forfeited shares were subsequently re-issued as fully paid Rs 7 each. The Profit on re-issue is ________.

Join BYJU'S Learning Program

Find the value of Right per share if a company offer to issue 1 share of Rs.100 to holder of 4 shares at Rs.120, given that the market price of the shares is Rs.180 per share.

The correct option is C Rs.12Right per share = market price - issue price --------------------------------------- No. of shares = 180 - 120 ------------------ 4 + 1 = Rs-12 per share

Find the value of Right per share if a company offer to issue $1$ share of $R s . 100$ to holder of $4$ shares at $R s . 120$ , given that the market price of the shares is $R s . 180$ per share.

The correct option is C $R s . 12$
Right per share = market price - issue price
---------------------------------------
No. of shares
= 180 - 120
------------------
4 + 1
= Rs-12 per share