If a shares of Rs. $10$ on which Rs. $8$ has been paid up is forfeited, it can be re-issued at the minimum price of ______.

Rs.

10

per share

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Rs.

8

per share

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Rs.

5

per share

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Rs.

2

per share

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Solution

The correct option is D Rs. $2$ per share
As per the companies act 2013 the minimum amount at which the company can reissue the shares is the amount they have received on forfeit of shares.
The amount that the company has received on forfeiture of shares is Rs 8 so the minimum amount that the company can reissue shares must be Rs 2. Below that amount company will suffer a loss as it has received Rs 8 so it cannot charge less than Rs 2.
Hence, minimum reissue amount is Rs2 per share.

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If a shares of Rs. 10 on which Rs. 8 has been paid up is forfeited, it can be re-issued at the minimum price of ______.

If a shares of Rs. $10$ on which Rs. $8$ has been paid up is forfeited, it can be re-issued at the minimum price of ______.