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Prafful Limited… (Class 12 Accountancy SQP 2025-26, Q3b)

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AccountancyCBSE Class 12 · Sample paper, session 2025-26 · 1 mark · MCQ

CBSE Class 12 Accountancy sample paper 2025-26: question 3(b)

From the official CBSE sample question paper for 2025-26, section A, question 3(b), for 1 mark. Try it first; the hints and our step-by-step solution are below.

Q3(b) · 1 mark · MCQAccounting for Share Capital

Prafful Limited forfeited 15,000 shares of ₹ 20 each on which ₹ 8 (including ₹ 2 premium) was paid. Out of these 13,000 shares were re-issued @ ₹ 19 per share as fully paid up. Determine the amount of Share Forfeited balance.

  1. (A)₹ 90,000
  2. (B)₹ 91,000
  3. (C)₹ 12,000
  4. (D)₹ 16,000

Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2025-26.

Hints

Open one hint at a time and try again before the next.

Hint 1

How much capital (excluding premium) had been paid per share?

Hint 2

After reissue, only the forfeited shares not yet reissued keep a balance.

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Paid ₹ 8 per share including ₹ 2 premium, so ₹ 6 per share was credited to capital. Share Forfeited A/c = 15,000 × ₹ 6 = ₹ 90,000.

  2. On reissue of 13,000 shares at ₹ 19 (discount ₹ 1), the gain on those shares goes to Capital Reserve. The balance left in Share Forfeited A/c relates only to the 2,000 shares not reissued: 2,000 × ₹ 6 = ₹ 12,000. Option (C).

    1 mark

Answer: (C) ₹ 12,000

Where the marks are

  • Balance = forfeited amount on 2,000 unissued shares = ₹ 12,000 (1 mark)

Revise the chapter

Practise this chapterBoard-style questions from Accounting for Share Capital, one at a time, marked against the answer key and marking points.Back to the full paperSample paper 2025-26: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.