Hello Ltd., a company engaged in various business activities, has decided to initiate a share buy-back on 1 st April, 2023. The company plans to…

Hello Ltd., a company engaged in various business activities, has decided to initiate a share buy-back on 1 st April, 2023. The company plans to repurchase 25,000 equity shares of 10 each at a price of 20 per share. This buy-back initiative is in compliance with the company's articles of association, and the necessary resolution has been duly passed by the company. As part of the financial arrangement for the share buy-back, Hello Ltd. intends to utilize its current assets, particularly the bank balance, to make the payment for the repurchased shares. Here is a snapshot of Hello Ltd.'s Balance Sheet as of 31 st March, 2023: (A) Share Capital: Equity share capital (fully paid up shares of 10 each) ₹ 12,50,000 (B) Reserves and Surplus: Securities premium - 2,50,000; Profit and loss account - 1,25,000; Revenue reserve - 15,00,000; (C) Long term borrowings: 14% Debentures-28,75,000, Unsecured Loans - 16,50,000 (D) Land and Building - 19,30,000; Plant and machinery 18,00,000; Furniture and fitting - 9,20,000 and Other Current Assets -30,00,000 Authorized, issued and subscribed capital: Equity share capital (fully paid up shares of 10 each) - 12,50,000. Answer the following questions on the basis of above information: