Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Accounting Professionals Ltd was established in 2020 to provide clients with tax and accounting services. During year 2020, the company Issued 10 000 ordinary shares

image text in transcribed

Accounting Professionals Ltd was established in 2020 to provide clients with tax and accounting services. During year 2020, the company Issued 10 000 ordinary shares at $50 per share. Purchase for the shares must be paid in instalments as following $17 was payable on application $15 payable on allotment the remainder in calls. Management were pleasantly surprised that applications were received for 10,773shares. The excess money received were offset agains amounts due on allotment and any remaining funds (if appropriate) were offset against calls due. All amounts due on the shares were received from owners, except for the final call of $10 per share on a parcel of 2000 shares. These shares were forfeited by the company and subsequently reissued at $50, for payment of $45 per share ($5 discount per share). Any relevant amounts remaining from the forfeited shares were refunded to the defaulting shareholders. How much did Accounting Professionals Ltd receive as the final allotment money after the excess money was offset against allo due

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Forensic And Investigative Accounting

Authors: Professor D. Larry Crumbley, Lester E. Heitger, G. Stevenson Smith

8th Edition

0808046241, 9780808046240

More Books

Students also viewed these Accounting questions

Question

Describe the disciplinary action process.

Answered: 1 week ago