Particulars Amt.(Dr.) Amt.(Dr.) Share Capital a/c (300 X 6) Dr. Securities Premium Res. A/c (300 X 4) Dr. 1,800 To Share Forfeiture A/c (300 x2) 1,200 To Share Allotment Call A/c(300x8) 600 (Being 300 shares forfeited for the non-payment of 2400 allotment of Rs. 8 each including premium of Rs. 4 BankA/c (300X15)Dr 4,500 To Share capital A/c 4,500 (Being reissue of 300 shares at Rs. 15 as fully paid up) Share Forfeiture A/c Dr. 600 To Capital Reserve A/c 600 (Being balance of forfeited share account transferred to capital reserve) Case (iii) JOURNAL Particulars L.F. Amt.(Dr.) Amt.(Dr.) Share Capital A/c (200X50)Dr. To Share Final Call A/c 10,000 To Share Forfeiture A/c 2,000 (Being 200 shares forfeited for the non-payment of 8,000 final call) Bank A/c (200X45) Dr. 9,000 Share forfeiture a/c (200X5) 1,000 To Share capital A/c (200X50) (Being reissue of 400 shares at Rs. 45 as fully paid up) 10,000 Share Forfeiture A/c Dr. 7000 To Capital Reserve A/c 7000 (Being balance of forfeited share account transferred to capital reserve) Example 4. A limited company invites applications for 50,000 equity shares of Rs. 10 each, at a maximum discount by the Companies Act, payable as follows: On application Rs. 3; on allotment Rs. 3; on first call Rs. 2; on final call the balance. Applications were received for 55,000 shares. Allotments were made on the following basis: To applicants for 35,000 shares- in full
Particulars Amt.(Dr.) Amt.(Dr.) Share Capital a/c (300 X 6) Dr. Securities Premium Res. A/c (300 X 4) Dr. To Share Forfeiture A/c (300 x2) To Share Allotment Call A/c(300x8) (Being 300 shares forfeited for the non-payment of allotment of Rs. 8 each including premium of Rs. 4 1,800 1,200 600 2400 BankA/c (300X15)Dr To Share capital A/c (Being reissue of 300 shares at Rs. 15 as fully paid up) 4,500 4,500 Share Forfeiture A/c Dr. To Capital Reserve A/c (Being balance of forfeited share account transferred to capital reserve) 600 600 Case (iii) JOURNAL Particulars L.F. Amt.(Dr.) Amt.(Dr.) Share Capital A/c (200X50)Dr. To Share Final Call A/c To Share Forfeiture A/c (Being 200 shares forfeited for the non-payment of final call) 10,000 2,000 8,000 Bank A/c (200X45) Dr. Share forfeiture a/c (200X5) To Share capital A/c (200X50) (Being reissue of 400 shares at Rs. 45 as fully paid up) 9,000 1,000 10,000 Share Forfeiture A/c Dr. To Capital Reserve A/c (Being balance of forfeited share account transferred to capital reserve) 7000 7000 Example 4. A limited company invites applications for 50,000 equity shares of Rs. 10 each, at a maximum discount by the Companies Act, payable as follows: On application Rs. 3; on allotment Rs. 3; on first call Rs. 2; on final call the balance. Applications were received for 55,000 shares. Allotments were made on the following basis: To applicants for 35,000 shares- in full
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