question_answer

Gagan Ltd. reissued 800 (80% of the Forfeited shares) equity shares of Rs 10 each which were forfeited due to non-payment of allotment money and first and final call, now reissued for Rs.12 each fully paid up at premium. Amount transferred to capital Reserve Rs.4,800. What was the amount credited to Share Forfeiture A/c at the time of forfeiture of shares:

A) Rs.6,000

B) Rs.4,800 

C) Rs.9,600 

D) Rs.3,840