A company forfeited 100 equity shares of ₹10 each on which a final call of ₹4 per share was unpaid. At what minimum rate per share these shares can be reissued by the company?

The correct answer is ₹4.

Key PointsReissue of Shares:

• The price at which the shares are reissued is up to the firm, but the total amount received on the shares cannot be less than the amount that is owed on the shares.
• The sum paid out to both the first allottee and the second buyer is referred to as the entire amount in this context..

Important PointsIn the above question, A company forfeited 100 equity shares of ₹10 each on which a final call of ₹4 per share was unpaid, it means ₹6 is paid.

Hence, the company can reissue the share at minimum price of ₹4, because maximum discount should not be exceeded the paid amount.