Final answer:
The amount that would be transferred to the bank upon re-issuing the shares can be calculated by multiplying the number of shares re-issued by the re-issue price. Because the re-issue price is not provided, an example calculation used an assumed re-issue price of Rs.6 per share, resulting in Rs.3,000 transferred to the bank.
Step-by-step explanation:
Mayfair Ltd. forfeited 2,000 shares of Rs.10 each, which had Rs.7 called up. The default was on the payment of Rs.4 per share (including Rs.2 premium) and a further Rs.2 which was not paid on the first call. When 500 of these forfeited shares were re-issued as fully paid, Rs.750 was transferred to the capital reserve.
To calculate the amount transferred to the bank upon re-issue of the 500 shares, we need to consider the re-issue price and the called-up amount.
Let's say the shares are re-issued for Rs.6 per share (Rs.7 called up, and re-issued at a discounted price).
Amount to be transferred to bank = Number of shares re-issued × Re-issue price
Amount to be transferred to bank = 500 shares × Rs.6 (assumed re-issue price)
Amount to be transferred to bank = Rs.3,000
This calculation assumes that Rs.3,000 will be realized from the re-issuance (500 shares at Rs.6 each). However, as the question does not provide the re-issue price, the exact amount cannot be determined without this information. The calculation provided is an example should the shares be re-issued at Rs.6 per share.