Balaji Ltd. Issued 4000, 10% debentures of ?100 each payable ?30 on application, ?50 on allotment and balance on call.
All the debentures were applied for.
Ajay holding 500 debentures failed to pay allotment and call while vijay holding 200 debentures paid the entire money on allotment. Pass necessary journal entries
Dear Student
Regards
| 10. JOURNAL | ||||
|---|---|---|---|---|
| Particulars | L.F. | Debit | Credit | |
| Bank A/c | Dr. | 120,000 | ||
| To Debentures Application A/c | 120,000 | |||
| (Being 10% debentures issued) | ||||
| Debenture Application A/c | Dr. | 120,000 | ||
| To 10% Debenture A/c | 120,000 | |||
| (Being debentures allotted) | ||||
| Debenture Allotment A/c | Dr. | 200000 | ||
| To 10% Debenture A/c | 200000 | |||
| (Being Allotment money due) | ||||
| Bank A/c (3500*50 + 200*20) | Dr. | 179,000 | ||
| To Calls in advance A/c | 4000 | |||
| To Debenture Allotment A/c | 175,000 | |||
| (Being money received for allotment on 3500 shares along with advance calls) | ||||
| Debenture Call Money A/c | Dr. | 80,000 | ||
| To 10% Debenture A/c | 80,000 | |||
| (Being call money due) | ||||
| Bank A/c (3300*20) | Dr. | 66,000 | ||
| Calls in Advance A/c | Dr. | 4,000 | ||
| To Debenture Call Money A/c | 70,000 | |||
| (Being call money received on 3300 shares and advance call adjusted) | ||||
Regards