CUET Preparation Today
| A combined account for share application and share allotment is opened by the company in some situations. What is the name of that combined account? |
Share application A/c Share combined A/c Share application combined A/c Share Application and Allotment Account |
| Share Application and Allotment Account |
| Sometimes a combined account for share application and share allotment called ‘Share Application and Allotment Account’ is opened in the books of a company. The combined account is based on the reasoning that allotment without application is impossible while application without allotment is meaningless. These two stages of share capital are closely inter-related. |
