The maximum amount of discount on the re-issue of forfeited shares will be:-

The amount already received at the time of forfeiture.

The correct answer is Option (4) → The amount already received at the time of forfeiture.

The maximum amount of discount on the re-issue of forfeited shares will be the amount already received at the time of forfeiture.

Forfeiture of Shares issued at Par:
Share Capital A/c..........(Called up amount) Dr.
     To Share Forfeiture A/c...........(Paid up amount)
     To Share Allotment A/c (Amount not received)
     To Calls in arrears A/c (Amount not received)
(shares forfeited for non-payment of allotment money and calls made)

* Forfeited shares that are reissued can be offered as fully paid, either at their face value, a higher value, or a reduced value. It's important to highlight that the discount granted during reissuance must not surpass the initial amount received for the forfeited shares when they were first issued. Any discount given when reissuing forfeited shares should be recorded in the 'Forfeited Share Account'. If there's any remaining balance in the Share-Forfeited Account associated with the reissued shares, this surplus should be treated as a gain in capital and transferred to the Capital Reserve Account.