Accountancy Part AAccounting for Shares

In the case of issue of shares, the amount on any call should not exc…

In the case of issue of shares, the amount on any call should not exceed ………. of the face value of shares.

Answer & explanation

Correct answer: option 1

The correct answer is Option (1) → 25%

NCERT (2026-27 edition):
Accounting Treatment – “… Two points are important regarding the calls on shares. First, the amount on any call should not exceed 25% of the face value of shares. Second, there must be an interval of at least one month between the making of two calls unless otherwise provided by the articles of association of the company.”