Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Accounting for Shares

Question:

Application money should be at least __________ of the face value of share.

Options:

10%

15%

5%

20%

Correct Answer:

5%

Explanation:

The correct answer is Option (3) - 5%

Application money should be at least 5% of the face value of the share. For e.g. if a share having face value of ₹100 is issued then minimum ₹5 must be collected by the company on application.