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Arrange the following steps as per the procedure of issue of shares :

(a) Receipt of applications

(b) Allotment of shares

(c) Reissue of forfeited shares

(d) Issue of prospectus

(e) Forfeiture of shares

Choose the correct answer from the options given below :

Solution

✅ Correct Option: 3

Correct sequence of share issue: first Issue of Prospectus (d) to invite subscription, then Receipt of Applications (a), followed by Allotment of Shares (b). If some shareholders fail to pay calls, Forfeiture (e) occurs, and finally the company can opt for Reissue of Forfeited Shares (c).

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