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Commerce · Q1328

Accounting

Graduate and Post Graduate · Commerce · question 1328

Q1328

The Balance Sheet of a company includes, among other item, 10% Redeemable Preference Share of Rs. 1,60,000 fully paid, share premium Rs. 1,000 and a revenue reserve of Rs. 1,31,000. The company decided to redeem the above shares at a premium of 5% by issue of new shares. If the new issue of shares is to be at a premium of 20%, the minimum amount of new issue will be

A.
Rs. 28,800
B.
Rs. 32,000
C.
Rs. 36,000
Answer
D.
Rs. 37,000

Answer: Option C

Solution

Answer: Option C
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