Sunshine company limited was newly formed with an authorized capital or Rs. 500,000

divided into 50,000 equity shares of Rs. 10 each. The company issued 25,000 equity

shares at a premium of Rs. 1 per share. Applications for 30,000 shares were received. No

allotment was made to applicants for 5,000 shares and their application money was

refunded. All the allots paid the money due.