A company allotted 10,000 shares to applicants of 14,000 shares on a pro-rata basis. The application was for ₹2 per share. A shareholder applied for 420 shares. How many shares are allotted to him by the company?
Answer & explanation
Correct answer: option 4
The correct answer is option 4- 300.
Who applied for 14,000 shares got 10,000 shares
Who applied for 420 shares got = 10,000/14,000 X 420
= 10/14 x 420
= 300 shares