M's Vinod Enterprises Limited has received Rs. 10 Lakh from an issue of further shares, the expenses of the issue being Rs. 10,000. Which of the following is the correct treatment in respect of the above transaction?
1
Rs. 10 Lakh is capital receipt and Rs. 10,000 is deferred revenue expenditure.
2
Rs. 10 Lakh is capital receipt and there is no treatment for Rs. 10,000.
3
Rs. 10.10 Lakh is capital receipt.
4
Rs. 10 Lakh is capital receipt and Rs. 10,000 is revenue expenditure.