Preference shares amounting to ₹2,00,000 are redeemed at a premium of 5% by issue of equity shares amounting to ₹1,00,000 at a premium of 10%. What is the amount to be transferred to capital redemption reserve ?
CS Executive · Corporate and Management Accounting · PYQS · June 2021
Preference shares amounting to ₹2,00,000 are redeemed at a premium of 5% by issue of equity shares amounting to ₹1,00,000 at a premium of 10%. What is the amount to be transferred to capital redemption reserve ?
Answer & Explanation:
Correct Answer: Option (B)
Official answer key: (B).
Topics: Corporate Accounting
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