X purchased the running business of A for Rs. $60, 000$ . In place of cash he discharged the purchase consideration by issue of equity shares of Rs. $10$ each at $20 %$ premium. Find the number of shares to be issued?

6, 000

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7, 500

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5, 000

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8, 000

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Solution

The correct option is D $5, 000$
Purchase Consideration = 60,000
Number of shares to be issued = 60,000/12 = 5000 shares.

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X purchased the running business of A for Rs. 60,000. In place of cash he discharged the purchase consideration by issue of equity shares of Rs. 10 each at 20% premium. Find the number of shares to be issued?

The correct option is D 5,000Purchase Consideration = 60,000Number of shares to be issued = 60,000/12 = 5000 shares.

X purchased the running business of A for Rs. $60, 000$ . In place of cash he discharged the purchase consideration by issue of equity shares of Rs. $10$ each at $20 %$ premium. Find the number of shares to be issued?

The correct option is D $5, 000$
Purchase Consideration = 60,000
Number of shares to be issued = 60,000/12 = 5000 shares.