Reeti Ltd. issued 25,000 shares of ₹10 each, payable as ₹2 on application, ₹3 on allotment, ₹2.5 on first call, and ₹2.5 on the second and final call. All the amounts were duly received, except for the second and final call on 1,600 shares. These shares were forfeited. Out of these, 1,200 shares were re-issued as fully paid-up in such a way that ₹4,200 were transferred to the capital reserve.
Calculate the amount of calls-in-arrears:

[0.88 marks]

₹3,200

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₹4,000

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₹1,600

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₹16,000

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Solution

The correct option is B ₹4,000
Calls-in-arrears = 1,600 × ₹2.5
= ₹4,000

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The correct option is B ₹4,000Calls-in-arrears = 1,600 × ₹2.5 = ₹4,000

The correct option is B ₹4,000
Calls-in-arrears = 1,600 × ₹2.5
= ₹4,000