The appropriate account to record any excess proceeds received and retained (not refunded) by a company from an oversubscription to a share offer application, is the:
A) share issue costs account.
B) forfeited shares account.
C) share capital account.
D) calls in advance account.

Question

Quizplus · Accepted Answer

The excess proceeds from an oversubscription that are retained by the company are recorded in the "calls in advance account" as they represent amounts received from shareholders before they are due.

The Appropriate Account to Record Any Excess Proceeds Received and Retained