Issue of share

Agent Limited issued a prospectus inviting applications for 3,000 shares of Rs. 100 each at a premium of

Rs 30 payable as follows:

On Application Rs 20 per share (Including Rs. 10 as premium)

On Allotment Rs 50 per share (Including Rs. 20 as premium)

On the First call Rs 20 per share

On Second call balance.

1. Applications were received for 4,000 shares and allotments made on a prorata basis to the applicants of 3,600 shares; the remaining applications being rejected, money received on application was adjusted on account of sums due on allotment. Renuka, whose 300 shares were allotted, failed to pay allotment money and call money, and her shares were forfeited. Kanika, the applicant, 360 shares failed to pay the two calls; her shares were also forfeited. All these shares were sold to Vinod at a fully paid for Rs 90 per share. Show