5. The Companies Act 2006 allows a private company to utilise the share premium account and transfer this reserve to the profit and loss reserve, meaning it becomes distributable. Out of these, 70 shares were reissued to Mr . This premium is then credited to the share premium account of the company. In this case the un-called capital is Rs. Commonly, the share capital is the total of the aforementioned nominal share capital and the premium share capital. 135,000 (Rs. 10 per share (including Rs. Wrong! Share Premium is the difference between the issue price and the par value of the stock and is also known as securities premium. 5 per share premium) and the first call of Rs. Out of these, 300 shares were reissued to X as Rs. ... Shares issued at premium (c) Shares issued at par (d) Shares issued at book value. • paid-up capital = called up capital - calls in arrears ... • cash 15000 equity share capital 10000 share premium 5000 16. issuance of share capital at a discount • deepak company issues its shares at rs 9.50 per share • cash 9500 • discount on issue of sc 500 equity share capital 10000 17. 4,50,000 subscribed capital minus Rs. 3,15,000 called-up capital or 4,500 shares subscribed x Rs. 20 called up for Rs.16 per shares. Out of these, 160 shares were re-issued to Sanjay as Rs 8 called up for 110 per share fully paid-up. (All India 2013) Ans. 19. 30 per share un-called capital. If some of the nominal value (and premium) is paid to the company, those shares are ‘partly paid’. Question 105. 1. Wrong! 25 each (Rs. The total amount received by the company out of the total called-up amount is known as the paid-up capital. 6 per share. Forfeited 400 shares of Rs. (a) Called up capital (b) Issued capital (c) Paid up capital (d) Reserve capital. Correct! In order to do this, the company needs to go through a capital reduction process. Members with unpaid or partly-paid shares remain liable to the company for the outstanding amount. The portion of called up capital which has been actually paid by shareholders is called? Sanjay as ₹ 8 called-up for ₹ 7 per share. The shares are said to be issued at a premium when the issue price of the share is greater than its face value or par value. 20n Called up) held by Asha, for non-payment of allotment money of Rs. Raja Ltd. Called up share capital £m Share premium account £m Capital redemption reserve £m Share-based payment reserve £m Cash flow hedging reserve £m Profit and loss account £m Total equity £m At 1 January 2019 39 75 7 305 (2) 1,527 1,951 Loss for the year – – – – – (42) (42) Other comprehensive income (items that may be subsequently Paid-Up Share Capital . Correct! (ii)Y Ltd forfeited 180 shares of Rs 10 each, Rs 8 called-up, issued at a premium of Rs 2 per share to R for non-payment of allotment money of Rs 5 per share (including premium). Minimum issued share capital 2. issued capital 3. subscribed capital 4. called up capital 5. paid up capital 6. reserved capital 7. reserved funds 8. equity share capital 9. loan capital 10. fixed and circulating capital 11. authorised share capital X Ltd. forfeited 100 shares of ₹ 10 each (₹ 8 called-up) issued at a premium of ₹ 2 per share to Mr. R on which he had paid applications money of ₹ 5 per share, for non-payment of allotment money of ₹ 5 per share (including premium). If a member receives company shares but does not pay any of the required nominal value (and premium) to the company, the shares are ‘unpaid’. If the allocation price of shares is greater than their par value, as in a rights issue, the shares are said to be sold at a premium (variously called share premium, additional paid-in capital or paid-in capital in excess of par). There are a few steps to go through, in summary these are: