A total of 400,000 shares of N1 each are to be issued by Sariki company Ltd at a price of N1.20 per share. Application were received for 600,000 shares out of which 100,000 were dishonored. If the available share were distributed pro-rata.
What refund will be due a subscriber who applied for 5,000 shares?
N1,000
N1,200
N4,800
N6,000
Correct answer is A
No explanation has been provided for this answer.