Lion Ltd Issued 20 000 Shares with an Issue Price

Multiple Choice

Lion Ltd issued 20 000 shares with an issue price of $1.30 on which the full price has been paid to the company.The maximum additional amount the shareholders can be asked to contribute if the company cannot pay its debts is:

A) $1.30 per share or $26 000
B) Nil
C) 30c per share or $6 000
D) There is no limit on the amount the shareholders can be asked to contribute