TS Grewal i (2014) Solutions for Class 12 Commerce Accountancy Chapter 7 Company Accounts Accounting For Share Capital are provided here with simple step-by-step explanations. These solutions for Company Accounts Accounting For Share Capital are extremely popular among class 12 Commerce students for Accountancy Company Accounts Accounting For Share Capital Solutions come handy for quickly completing your homework and preparing for exams. All questions and answers from the TS Grewal i (2014) Book of class 12 Commerce Accountancy Chapter 7 are provided here for you for free. You will also love the ad-free experience on Meritnation’s TS Grewal i (2014) Solutions. All TS Grewal i (2014) Solutions for class 12 Commerce Accountancy are prepared by experts and are 100% accurate.
Page No 7.111:
Question 1:
Answer:
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Gopal Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
44,99,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
44,99,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
44,99,000 |
Total |
|
44,99,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
5,00,000 equity shares of Rs 10 each |
50,00,000 |
|
|
Issued Share Capital |
|
|
|
5,00,000 equity shares of Rs 10 each |
50,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
4,50,000 equity shares of Rs 10 each |
45,00,000 |
|
|
Less: Calls in Arrears (500 shares × Rs 2) |
(1,000) |
44,99,000 |
|
|
|
|
2 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
44,99,000 |
|
|
|
|
Page No 7.111:
Question 2:
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Gopal Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
44,99,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
44,99,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
44,99,000 |
Total |
|
44,99,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
5,00,000 equity shares of Rs 10 each |
50,00,000 |
|
|
Issued Share Capital |
|
|
|
5,00,000 equity shares of Rs 10 each |
50,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
4,50,000 equity shares of Rs 10 each |
45,00,000 |
|
|
Less: Calls in Arrears (500 shares × Rs 2) |
(1,000) |
44,99,000 |
|
|
|
|
2 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
44,99,000 |
|
|
|
|
Answer:
Authorised Capital 2,50,000 equity shares of Rs 10 each
Issued and Subscribed Capital 2,50,000 shares
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
25,00,000 |
|
|
To Equity Share Application A/c |
|
|
25,00,000 |
|
|
(Share application money received for 2,50,000 equity shares of Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
25,00,000 |
|
|
To Equity Share Capital A/c |
|
|
25,00,000 |
|
|
(Share application of 2,50,000 equity shares of Rs 10 each transferred to Equity Share Capital Account ) |
|
|
|
|
|
|
|
|
|
Page No 7.111:
Question 3:
Authorised Capital 2,50,000 equity shares of Rs 10 each
Issued and Subscribed Capital 2,50,000 shares
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
25,00,000 |
|
|
To Equity Share Application A/c |
|
|
25,00,000 |
|
|
(Share application money received for 2,50,000 equity shares of Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
25,00,000 |
|
|
To Equity Share Capital A/c |
|
|
25,00,000 |
|
|
(Share application of 2,50,000 equity shares of Rs 10 each transferred to Equity Share Capital Account ) |
|
|
|
|
|
|
|
|
|
Answer:
Authorised Capital 1,60,000 equity shares of Rs 10 each
Issued and Subscribed Capital 80,000 equity shares
Books of XYZ Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Application A/c |
|
|
8,00,000 |
|
|
(Share application money received for 8,000 Equity Shares of Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Capital A/c |
|
|
8,00,000 |
|
|
(Share application of 80,000 shares of Rs 10 each transferred to Equity Share Capital Accounts) |
|
|
|
|
|
|
|
|
|
Page No 7.111:
Question 4:
Authorised Capital 1,60,000 equity shares of Rs 10 each
Issued and Subscribed Capital 80,000 equity shares
Books of XYZ Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Application A/c |
|
|
8,00,000 |
|
|
(Share application money received for 8,000 Equity Shares of Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Capital A/c |
|
|
8,00,000 |
|
|
(Share application of 80,000 shares of Rs 10 each transferred to Equity Share Capital Accounts) |
|
|
|
|
|
|
|
|
|
Answer:
Issued and Subscribed Capital 10,000 shares of Rs 10 each
Payable as:
Rs |
2 |
on application |
Rs |
3 |
on allotment |
Rs |
2 |
on first call |
Rs |
3 |
on final call |
|
10 |
|
Books of XYZ Limited Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
20,000 |
|
|
|
To Share Application A/c |
|
|
20,000 |
||
|
(Share application money received for 10,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
20,000 |
|
|
|
To Share Capital A/c |
|
|
20,000 |
||
|
(Share application of 10,000 shares of Rs 2 each transferred to Share Capital) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
30,000 |
|
|
|
To Share Capital A/c |
|
|
30,000 |
||
|
(Share allotment due on 10,000 shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
30,000 |
|
|
|
To Share Allotment A/c |
|
|
30,000 |
||
|
(Share allotment money received for 10,000 Shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
20,000 |
|
|
|
To Share Capital A/c |
|
|
20,000 |
||
|
(Share first call due on 10,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
20,000 |
|
|
|
To Share First call A/c |
|
|
20,000 |
||
|
(Share first call received on 10,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Final Call A/c |
Dr. |
|
30,000 |
|
|
|
To Share Capital A/c |
|
|
30,000 |
||
|
(Share Final call due on 10,000 shares at 3 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
30,000 |
|
|
|
To Share Final Call A/c |
|
|
30,000 |
||
|
(Share final call received on 10,000 shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
Page No 7.111:
Question 5:
Issued and Subscribed Capital 10,000 shares of Rs 10 each
Payable as:
Rs |
2 |
on application |
Rs |
3 |
on allotment |
Rs |
2 |
on first call |
Rs |
3 |
on final call |
|
10 |
|
Books of XYZ Limited Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
20,000 |
|
|
|
To Share Application A/c |
|
|
20,000 |
||
|
(Share application money received for 10,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
20,000 |
|
|
|
To Share Capital A/c |
|
|
20,000 |
||
|
(Share application of 10,000 shares of Rs 2 each transferred to Share Capital) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
30,000 |
|
|
|
To Share Capital A/c |
|
|
30,000 |
||
|
(Share allotment due on 10,000 shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
30,000 |
|
|
|
To Share Allotment A/c |
|
|
30,000 |
||
|
(Share allotment money received for 10,000 Shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
20,000 |
|
|
|
To Share Capital A/c |
|
|
20,000 |
||
|
(Share first call due on 10,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
20,000 |
|
|
|
To Share First call A/c |
|
|
20,000 |
||
|
(Share first call received on 10,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Final Call A/c |
Dr. |
|
30,000 |
|
|
|
To Share Capital A/c |
|
|
30,000 |
||
|
(Share Final call due on 10,000 shares at 3 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
30,000 |
|
|
|
To Share Final Call A/c |
|
|
30,000 |
||
|
(Share final call received on 10,000 shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
Answer:
Authorised Capital 10,000 shares of Rs 100 each
Issued and Subscribed Capital 10,000 shares
Payable as:
Rs |
10 |
on application |
Rs |
20 |
on allotment |
Rs |
70 |
on first call and final call |
|
100 |
|
Journal |
|||||
|
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
To Share Application A/c |
|
|
1,00,000 |
|
|
(Share application money received for 10,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(Share application of 10,000 shares at Rs 10 each transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
(Share allotment due on 10,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To Share Allotment A/c |
|
|
2,00,000 |
|
|
(Share allotment money received for 10,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
7,00,000 |
|
|
To Share Capital A/c |
|
|
7,00,000 |
|
|
(Share first and final call due on 10,000 shares at Rs 70 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,00,000 |
|
|
To Share First and Final call A/c |
|
|
7,00,000 |
|
|
(Share first and final call received on 10,000 shares at Rs 70 per share) |
|
|
|
|
|
|
|
|
|
Page No 7.111:
Question 6:
Authorised Capital 10,000 shares of Rs 100 each
Issued and Subscribed Capital 10,000 shares
Payable as:
Rs |
10 |
on application |
Rs |
20 |
on allotment |
Rs |
70 |
on first call and final call |
|
100 |
|
Journal |
|||||
|
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
To Share Application A/c |
|
|
1,00,000 |
|
|
(Share application money received for 10,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(Share application of 10,000 shares at Rs 10 each transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
(Share allotment due on 10,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To Share Allotment A/c |
|
|
2,00,000 |
|
|
(Share allotment money received for 10,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
7,00,000 |
|
|
To Share Capital A/c |
|
|
7,00,000 |
|
|
(Share first and final call due on 10,000 shares at Rs 70 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,00,000 |
|
|
To Share First and Final call A/c |
|
|
7,00,000 |
|
|
(Share first and final call received on 10,000 shares at Rs 70 per share) |
|
|
|
|
|
|
|
|
|
Answer:
Authorised Capital:
Equity Shares 75,000 of Rs 100 each.
9% Preference Shares 25,000 of Rs 100 each.
Issued Capital:
Equity Shares 1,000 of Rs 100 each.
Payable as
Rs 10 on Application
Rs 40 on Allotment
Rs 25 on First Call
Rs 25 on Final Call
Preference Shares 500 of Rs 100 each.
Payable as
Rs 25 on application
Rs 25 on allotment
Rs 50 on first and final call
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share Application |
|
10,000 |
|
|
|
|
|
Preference Share Application |
|
12,500 |
|
|
|
|
|
Equity Share Allotment |
|
40,000 |
|
|
|
|
|
Preference Share Allotment |
|
12,500 |
|
|
|
|
|
Equity Share First Call |
|
25,000 |
|
|
|
|
|
Preference Share First and Final Call |
|
25,000 |
|
|
|
|
|
Equity Share Final Call |
|
25,000 |
|
Balance c/d |
|
1,50,000 |
|
|
|
|
|
|
|
|
|
|
|
1,50,000 |
|
|
|
1,50,000 |
|
|
|
|
|
|
|
|
Journal |
|||||
|
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Capital A/c |
|
|
10,000 |
|
|
(Equity share application of 1,000 shares of Rs 10 each transferred to Equity Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Application A/c |
Dr. |
|
12,500 |
|
|
To 9% Preference Share Capital A/c |
|
|
12,500 |
|
|
(Preference share applications of 500 shares Rs 25 each transferred to 9% Preference Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Equity share allotment due on 1,000 shares at Rs 40 each) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Allotment A/c |
Dr. |
|
12,500 |
|
|
To 9% Preference Share Capital A/c |
|
|
12,500 |
|
|
(Preference share allotment due on 500 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
25,000 |
|
|
To Equity Share Capital A/c |
|
|
25,000 |
|
|
(Equity share first call due on 1,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share First and Final Call A/c |
Dr. |
|
25,000 |
|
|
To 9% Preference Share Capital A/c |
|
|
25,000 |
|
|
(Preference share first and final call due on 500 shares at Rs 50 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
25,000 |
|
|
To Equity Share Capital A/c |
|
|
25,000 |
|
|
(Equity share final call due on 1,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, 1956, the Company's Balance Sheet is presented as follows.
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholdersâ Funds |
|
|
a. Share Capital |
1 |
1,50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,50,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
1,50,000 |
Total |
|
1,50,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|||
1 |
Share Capital |
|
|||
|
Authorised Share Capital |
|
|||
|
75,000 Equity Shares of Rs 100 each |
7,50,000 |
|||
|
25,000 9% Preference Shares of Rs 100 each |
2,50,000 |
10,00,000 |
||
|
Issued Share Capital |
|
|||
|
1,000 Equity Shares of Rs 100 each |
1,00,000 |
|||
|
500 9% Preference Shares of Rs 100 each |
50,000 |
1,50,000 |
||
|
Subscribed, Called-up and Paid-up Share Capital |
|
|||
|
1,000 Equity Shares of Rs 100 each |
1,00,000 |
|
||
|
500 9% Preference Shares of Rs 100 each |
50,000 |
1,50,000 |
||
|
|
|
|||
2 |
Cash and Cash Equivalents |
|
|||
|
Cash at Bank |
1,50,000 |
|||
|
|
|
Page No 7.111:
Question 7:
Authorised Capital:
Equity Shares 75,000 of Rs 100 each.
9% Preference Shares 25,000 of Rs 100 each.
Issued Capital:
Equity Shares 1,000 of Rs 100 each.
Payable as
Rs 10 on Application
Rs 40 on Allotment
Rs 25 on First Call
Rs 25 on Final Call
Preference Shares 500 of Rs 100 each.
Payable as
Rs 25 on application
Rs 25 on allotment
Rs 50 on first and final call
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share Application |
|
10,000 |
|
|
|
|
|
Preference Share Application |
|
12,500 |
|
|
|
|
|
Equity Share Allotment |
|
40,000 |
|
|
|
|
|
Preference Share Allotment |
|
12,500 |
|
|
|
|
|
Equity Share First Call |
|
25,000 |
|
|
|
|
|
Preference Share First and Final Call |
|
25,000 |
|
|
|
|
|
Equity Share Final Call |
|
25,000 |
|
Balance c/d |
|
1,50,000 |
|
|
|
|
|
|
|
|
|
|
|
1,50,000 |
|
|
|
1,50,000 |
|
|
|
|
|
|
|
|
Journal |
|||||
|
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Capital A/c |
|
|
10,000 |
|
|
(Equity share application of 1,000 shares of Rs 10 each transferred to Equity Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Application A/c |
Dr. |
|
12,500 |
|
|
To 9% Preference Share Capital A/c |
|
|
12,500 |
|
|
(Preference share applications of 500 shares Rs 25 each transferred to 9% Preference Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Equity share allotment due on 1,000 shares at Rs 40 each) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Allotment A/c |
Dr. |
|
12,500 |
|
|
To 9% Preference Share Capital A/c |
|
|
12,500 |
|
|
(Preference share allotment due on 500 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
25,000 |
|
|
To Equity Share Capital A/c |
|
|
25,000 |
|
|
(Equity share first call due on 1,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share First and Final Call A/c |
Dr. |
|
25,000 |
|
|
To 9% Preference Share Capital A/c |
|
|
25,000 |
|
|
(Preference share first and final call due on 500 shares at Rs 50 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
25,000 |
|
|
To Equity Share Capital A/c |
|
|
25,000 |
|
|
(Equity share final call due on 1,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, 1956, the Company's Balance Sheet is presented as follows.
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholdersâ Funds |
|
|
a. Share Capital |
1 |
1,50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,50,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
1,50,000 |
Total |
|
1,50,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|||
1 |
Share Capital |
|
|||
|
Authorised Share Capital |
|
|||
|
75,000 Equity Shares of Rs 100 each |
7,50,000 |
|||
|
25,000 9% Preference Shares of Rs 100 each |
2,50,000 |
10,00,000 |
||
|
Issued Share Capital |
|
|||
|
1,000 Equity Shares of Rs 100 each |
1,00,000 |
|||
|
500 9% Preference Shares of Rs 100 each |
50,000 |
1,50,000 |
||
|
Subscribed, Called-up and Paid-up Share Capital |
|
|||
|
1,000 Equity Shares of Rs 100 each |
1,00,000 |
|
||
|
500 9% Preference Shares of Rs 100 each |
50,000 |
1,50,000 |
||
|
|
|
|||
2 |
Cash and Cash Equivalents |
|
|||
|
Cash at Bank |
1,50,000 |
|||
|
|
|
Answer:
Authorised Capital 1,00,000 shares of Rs 10 each
Issued Capital 60,000 shares
Applied 40,000 shares
Payable as:
Rs 1 on application
Rs 2 on allotment
Rs 3 on first call
Rs 4 on final call
Books of Kalyan Cotton Mills Ltd. Cash Book |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
||
2011 |
|
|
|
2011 |
|
|
|
||
Feb 01 |
Share Application |
|
40,000 |
|
|
|
|
||
Feb 28 |
Share Allotment |
|
80,000 |
|
|
|
|
||
May 01 |
Share First Call |
|
1,19,700 |
|
|
|
|
||
June 30 |
Share Final Call |
|
1,58,400 |
|
Balance c/d |
|
3,98,100 |
||
|
|
|
3,98,100 |
|
|
|
3,98,100 |
||
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2011 |
|
|
|
|
|
Feb 01 |
Share Application A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(Share application of 40,000 shares at Re 1 each transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
Feb 01 |
Share Allotment A/c |
Dr. |
|
80,000 |
|
|
To Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 40,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
Mar 01 |
Share First Call A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,20,000 |
|
|
(Share first call due on 40,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
May 30 |
Calls-in-Arrears A/c |
Dr. |
|
300 |
|
|
To Share First Call A/c |
|
|
300 |
|
|
(Share first call outstanding on 100 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
June 01 |
Share Final Call A/c |
Dr. |
|
1,60,000 |
|
|
To Share Capital A/c |
|
|
1,60,000 |
|
|
(Share final call due on 40,000 shares of Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
June 30 |
Calls-in-Arrears A/c |
Dr. |
|
1,600 |
|
|
To Share Final Call A/c |
|
|
1,600 |
|
|
(Share final call outstanding on 400 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Kalyan Cotton Mills Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
3,98,100 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
3,98,100 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
3,98,100 |
Total |
|
3,98,100 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
|
Issued Share Capital |
|
|
|
60,000 shares of Rs 10 each |
6,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
40,000 shares of Rs 10 each |
4,00,000 |
|
|
Less: Calls-in-Arrears |
(1,900) |
3,98,100 |
|
|
|
|
2 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
3,98,100 |
|
|
|
|
Page No 7.111:
Question 8:
Authorised Capital 1,00,000 shares of Rs 10 each
Issued Capital 60,000 shares
Applied 40,000 shares
Payable as:
Rs 1 on application
Rs 2 on allotment
Rs 3 on first call
Rs 4 on final call
Books of Kalyan Cotton Mills Ltd. Cash Book |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
||
2011 |
|
|
|
2011 |
|
|
|
||
Feb 01 |
Share Application |
|
40,000 |
|
|
|
|
||
Feb 28 |
Share Allotment |
|
80,000 |
|
|
|
|
||
May 01 |
Share First Call |
|
1,19,700 |
|
|
|
|
||
June 30 |
Share Final Call |
|
1,58,400 |
|
Balance c/d |
|
3,98,100 |
||
|
|
|
3,98,100 |
|
|
|
3,98,100 |
||
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2011 |
|
|
|
|
|
Feb 01 |
Share Application A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(Share application of 40,000 shares at Re 1 each transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
Feb 01 |
Share Allotment A/c |
Dr. |
|
80,000 |
|
|
To Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 40,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
Mar 01 |
Share First Call A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,20,000 |
|
|
(Share first call due on 40,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
May 30 |
Calls-in-Arrears A/c |
Dr. |
|
300 |
|
|
To Share First Call A/c |
|
|
300 |
|
|
(Share first call outstanding on 100 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
June 01 |
Share Final Call A/c |
Dr. |
|
1,60,000 |
|
|
To Share Capital A/c |
|
|
1,60,000 |
|
|
(Share final call due on 40,000 shares of Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
June 30 |
Calls-in-Arrears A/c |
Dr. |
|
1,600 |
|
|
To Share Final Call A/c |
|
|
1,600 |
|
|
(Share final call outstanding on 400 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Kalyan Cotton Mills Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
3,98,100 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
3,98,100 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
3,98,100 |
Total |
|
3,98,100 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
|
Issued Share Capital |
|
|
|
60,000 shares of Rs 10 each |
6,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
40,000 shares of Rs 10 each |
4,00,000 |
|
|
Less: Calls-in-Arrears |
(1,900) |
3,98,100 |
|
|
|
|
2 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
3,98,100 |
|
|
|
|
Answer:
Issued Capital 10,000 shares of Rs 10 each
Applied 12,000 shares
Over-subscribed by 2,000 shares
Books of X Limited Journal |
||||
Date |
Particulars |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
Bank A/c |
Dr. |
1,20,000 |
|
|
To Share Application A/c |
|
1,20,000 |
|
|
(Share Application received for 12,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
1,20,000 |
|
|
To Share Capital A/c |
|
1,00,000 |
|
|
To Bank A/c |
|
20,000 |
|
|
(Application of 10,000 shares transferred to Share Capital and of 2,000 hares returned) |
|
|
|
|
|
|
|
Page No 7.112:
Question 9:
Issued Capital 10,000 shares of Rs 10 each
Applied 12,000 shares
Over-subscribed by 2,000 shares
Books of X Limited Journal |
||||
Date |
Particulars |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
Bank A/c |
Dr. |
1,20,000 |
|
|
To Share Application A/c |
|
1,20,000 |
|
|
(Share Application received for 12,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
1,20,000 |
|
|
To Share Capital A/c |
|
1,00,000 |
|
|
To Bank A/c |
|
20,000 |
|
|
(Application of 10,000 shares transferred to Share Capital and of 2,000 hares returned) |
|
|
|
|
|
|
|
Answer:
Issued Capital |
20,000 shares at Rs 10 each |
Applied |
30,000 shares |
Over-subscribed |
10,000 shares |
Applied |
Allotted |
Over-subscribed |
25,000 |
20,000 |
5,000 |
5,000 |
NIL |
5,000 |
30,000 |
20,000 |
10,000 |
|
|
|
Payable as:
Rs |
2.5 |
on application |
Rs |
5 |
on allotment |
|
7.5 |
Called-up |
Cash Book |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
||
|
|
|
|
|
|
|
|
||
|
Share Application |
|
|
|
Share Application |
|
|
||
|
(30,000 shares × Rs 2.5) |
|
75,000 |
|
(5,000 shares × Rs 2.5) |
|
12,500 |
||
|
Share Allotment |
|
87,500 |
|
|
|
|
||
|
|
|
|
|
Balance c/d |
|
1,50,000 |
||
|
|
|
1,62,500 |
|
|
|
1,62,500 |
||
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
62,500 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
To Share Allotment A/c |
|
|
12,500 |
|
|
(Share application of 20,000 shares at Rs 2.5 each transferred to Share Capital Account and excess money Rs 12,500 transferred to allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 20,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
ABC Company Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,50,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
1,50,000 |
Total |
|
1,50,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
…… shares of Rs 10 each |
– |
|
Issued Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
20,000 shares of Rs 10 each, on which Rs 7.5 called-up and paid-up |
1,50,000 |
|
|
|
2 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
1,50,000 |
|
|
|
Page No 7.112:
Question 10:
Issued Capital |
20,000 shares at Rs 10 each |
Applied |
30,000 shares |
Over-subscribed |
10,000 shares |
Applied |
Allotted |
Over-subscribed |
25,000 |
20,000 |
5,000 |
5,000 |
NIL |
5,000 |
30,000 |
20,000 |
10,000 |
|
|
|
Payable as:
Rs |
2.5 |
on application |
Rs |
5 |
on allotment |
|
7.5 |
Called-up |
Cash Book |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
||
|
|
|
|
|
|
|
|
||
|
Share Application |
|
|
|
Share Application |
|
|
||
|
(30,000 shares × Rs 2.5) |
|
75,000 |
|
(5,000 shares × Rs 2.5) |
|
12,500 |
||
|
Share Allotment |
|
87,500 |
|
|
|
|
||
|
|
|
|
|
Balance c/d |
|
1,50,000 |
||
|
|
|
1,62,500 |
|
|
|
1,62,500 |
||
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
62,500 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
To Share Allotment A/c |
|
|
12,500 |
|
|
(Share application of 20,000 shares at Rs 2.5 each transferred to Share Capital Account and excess money Rs 12,500 transferred to allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 20,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
ABC Company Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,50,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
1,50,000 |
Total |
|
1,50,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
…… shares of Rs 10 each |
– |
|
Issued Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
20,000 shares of Rs 10 each, on which Rs 7.5 called-up and paid-up |
1,50,000 |
|
|
|
2 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
1,50,000 |
|
|
|
Answer:
Authorised Capital 20,000 shares of Rs 25 each
Issued Capital 10,000 shares
Applied 11,600 shares
Payable as:
Rs |
5 |
on application |
Rs |
5 |
on allotment |
Rs |
7.5 |
on first call |
Rs |
7.5 |
on final call |
|
25 |
|
|
|
|
|
|
|
|
|
Applied Shares |
Issued Shares |
Money received on Application @ Rs 5 |
Money adjusted on Application @ Rs 5 |
Excess |
Allotment due @ Rs 5 |
Excess money adjusted on Allotment |
Excess money adjusted on First Call (Calls-in-Advance) |
1,000
|
-
|
5,000
|
-
|
5,000 (returned) |
|
|
|
1,000 |
400 |
5,000 |
2,000 |
3,000 |
2,000 |
2,000 |
1,000 |
9,600(balance) |
9,600 |
48,000 |
48,000 |
|
48,000 |
|
|
11,600 |
10,000 |
58,000 |
50,000 |
|
50,000 |
2,000 |
1,000 |
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
58,000 |
|
|
To Share Application A/c |
|
|
58,000 |
|
|
(Share application money received for 11,600 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
58,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
To Share Allotment A/c |
|
|
2,000 |
|
|
To Calls-in-Advance A/c |
|
|
1,000 |
|
|
To Bank A/c |
|
|
5,000 |
|
|
(Share application money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Share allotment due on 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
48,000 |
|
|
To Share Allotment A/c |
|
|
48,000 |
|
|
(Share allotment received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
75,000 |
|
|
To Share Capital A/c |
|
|
75,000 |
|
|
(Share first call due on 10,000 shares at Rs 7.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
74,000 |
|
|
Calls-in-Advance A/c |
Dr. |
|
1,000 |
|
|
To Share First Call A/c |
|
|
75,000 |
|
|
(Share first call received and calls-in-advance money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
75,000 |
|
|
To Share Capital A/c |
|
|
75,000 |
|
|
(Share final call due on 10,000 shares at Rs 7.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
75,000 |
|
|
To Shares Final Call A/c |
|
|
75,000 |
|
|
(Share final call received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Eastern Star Cycle Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,50,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
2,50,000 |
Total |
|
2,50,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
20,000 shares of Rs 25 each |
5,00,000 |
|
Issued Share Capital |
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
|
|
2 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
2,50,000 |
|
|
|
Page No 7.112:
Question 11:
Authorised Capital 20,000 shares of Rs 25 each
Issued Capital 10,000 shares
Applied 11,600 shares
Payable as:
Rs |
5 |
on application |
Rs |
5 |
on allotment |
Rs |
7.5 |
on first call |
Rs |
7.5 |
on final call |
|
25 |
|
|
|
|
|
|
|
|
|
Applied Shares |
Issued Shares |
Money received on Application @ Rs 5 |
Money adjusted on Application @ Rs 5 |
Excess |
Allotment due @ Rs 5 |
Excess money adjusted on Allotment |
Excess money adjusted on First Call (Calls-in-Advance) |
1,000
|
-
|
5,000
|
-
|
5,000 (returned) |
|
|
|
1,000 |
400 |
5,000 |
2,000 |
3,000 |
2,000 |
2,000 |
1,000 |
9,600(balance) |
9,600 |
48,000 |
48,000 |
|
48,000 |
|
|
11,600 |
10,000 |
58,000 |
50,000 |
|
50,000 |
2,000 |
1,000 |
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
58,000 |
|
|
To Share Application A/c |
|
|
58,000 |
|
|
(Share application money received for 11,600 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
58,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
To Share Allotment A/c |
|
|
2,000 |
|
|
To Calls-in-Advance A/c |
|
|
1,000 |
|
|
To Bank A/c |
|
|
5,000 |
|
|
(Share application money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Share allotment due on 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
48,000 |
|
|
To Share Allotment A/c |
|
|
48,000 |
|
|
(Share allotment received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
75,000 |
|
|
To Share Capital A/c |
|
|
75,000 |
|
|
(Share first call due on 10,000 shares at Rs 7.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
74,000 |
|
|
Calls-in-Advance A/c |
Dr. |
|
1,000 |
|
|
To Share First Call A/c |
|
|
75,000 |
|
|
(Share first call received and calls-in-advance money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
75,000 |
|
|
To Share Capital A/c |
|
|
75,000 |
|
|
(Share final call due on 10,000 shares at Rs 7.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
75,000 |
|
|
To Shares Final Call A/c |
|
|
75,000 |
|
|
(Share final call received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Eastern Star Cycle Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,50,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
2,50,000 |
Total |
|
2,50,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
20,000 shares of Rs 25 each |
5,00,000 |
|
Issued Share Capital |
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
|
|
2 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
2,50,000 |
|
|
|
Answer:
Issued Shares |
60,000 |
Less: Applied Shares |
92,000 |
Over-subscribed Shares |
32,000 |
Payable as:
Rs |
3 |
on Application |
Rs |
5 |
on Allotment (Including Rs 2 premium) |
Rs |
4 |
on First and Final Call |
Rs |
12 |
(10 + 2) |
|
|
|
|
|
|
|
Applied |
Allotted |
Money Received on Application @ Rs 3 |
Money adjusted on Appliction @ Rs 3 |
Excess |
Allotment due @ Rs 5 |
Excess money adjusted on Allotment @ Rs 5 |
40,000 |
30,000 |
1,20,000 |
90,000 |
30,000 |
1,50,000 |
30,000 |
50,000 |
30,000 |
1,50,000 |
90,000 |
60,000 |
1,50,000 |
60,000 |
2,000 |
NIL |
6,000 |
– |
6,000 |
|
|
|
|
|
|
(Bank) |
|
|
92,000 |
60,000 |
2,76,000 |
1,80,000 |
|
3,00,000 |
90,000 |
|
Mohan
Money Received on Application 800×3 |
= |
2,400 |
Application money adjusted to Share Capital 600×3 |
= |
1,800 |
Execs Money on Application |
= |
600 |
|
|
|
Allotment due on 600 shares × Rs 5 |
= |
3,000 |
Less: Adjustment of excess money on application |
= |
600 |
Calls-in-Arrears by Mohan |
|
2,400 |
Sohan
Money received on Application 1,000×3 |
= |
3,000 |
Application money adjusted to Share Capital 600×3 |
= |
1,800 |
Excess money on application |
= |
1,200 |
|
|
|
Allotment due on 600 Shares × Rs 5 |
= |
3,000 |
Less: Adjustment of excess money on application |
= |
1,200 |
Calls-in-Arrears by Sohan |
= |
1,800 |
|
|
|
Allotment due on 60,000 shares × Rs 5 |
= |
3,00,000 |
Less: Excess Application money adjusted on Allotment |
= |
90,000 |
|
|
2,10,000 |
Less: Calls-in-Arrears by Mohan |
= |
2,400 |
Less: Calls-in-Arrears by Sohan |
= |
1,800 |
Money received on allotment |
= |
2,05,800 |
Page No 7.112:
Question 12:
Issued Shares |
60,000 |
Less: Applied Shares |
92,000 |
Over-subscribed Shares |
32,000 |
Payable as:
Rs |
3 |
on Application |
Rs |
5 |
on Allotment (Including Rs 2 premium) |
Rs |
4 |
on First and Final Call |
Rs |
12 |
(10 + 2) |
|
|
|
|
|
|
|
Applied |
Allotted |
Money Received on Application @ Rs 3 |
Money adjusted on Appliction @ Rs 3 |
Excess |
Allotment due @ Rs 5 |
Excess money adjusted on Allotment @ Rs 5 |
40,000 |
30,000 |
1,20,000 |
90,000 |
30,000 |
1,50,000 |
30,000 |
50,000 |
30,000 |
1,50,000 |
90,000 |
60,000 |
1,50,000 |
60,000 |
2,000 |
NIL |
6,000 |
– |
6,000 |
|
|
|
|
|
|
(Bank) |
|
|
92,000 |
60,000 |
2,76,000 |
1,80,000 |
|
3,00,000 |
90,000 |
|
Mohan
Money Received on Application 800×3 |
= |
2,400 |
Application money adjusted to Share Capital 600×3 |
= |
1,800 |
Execs Money on Application |
= |
600 |
|
|
|
Allotment due on 600 shares × Rs 5 |
= |
3,000 |
Less: Adjustment of excess money on application |
= |
600 |
Calls-in-Arrears by Mohan |
|
2,400 |
Sohan
Money received on Application 1,000×3 |
= |
3,000 |
Application money adjusted to Share Capital 600×3 |
= |
1,800 |
Excess money on application |
= |
1,200 |
|
|
|
Allotment due on 600 Shares × Rs 5 |
= |
3,000 |
Less: Adjustment of excess money on application |
= |
1,200 |
Calls-in-Arrears by Sohan |
= |
1,800 |
|
|
|
Allotment due on 60,000 shares × Rs 5 |
= |
3,00,000 |
Less: Excess Application money adjusted on Allotment |
= |
90,000 |
|
|
2,10,000 |
Less: Calls-in-Arrears by Mohan |
= |
2,400 |
Less: Calls-in-Arrears by Sohan |
= |
1,800 |
Money received on allotment |
= |
2,05,800 |
Answer:
Issued 1,00,000 equity shares of Rs 10 each at a premium of Rs 5
Applied 1,00,000 shares
Books of Shiva Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,00,000 |
|
|
To Equity Share Application and Allotment A/c |
|
|
15,00,000 |
|
|
(Share application and allotment money received for 1,00,000 Shares at Rs 15 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application and Allotment A/c |
Dr. |
|
15,00,000 |
|
|
To Equity Share Capital A/c |
|
|
10,00,000 |
|
|
To Securities Premium A/c |
|
|
5,00,000 |
|
|
(Application and allotment money of 1,00,000 shares transferred to Equity Share Capital Account at Rs 10 each and Securities Premium at Rs 5 each) |
|
|
|
|
|
|
|
|
|
Page No 7.112:
Question 13:
Issued 1,00,000 equity shares of Rs 10 each at a premium of Rs 5
Applied 1,00,000 shares
Books of Shiva Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,00,000 |
|
|
To Equity Share Application and Allotment A/c |
|
|
15,00,000 |
|
|
(Share application and allotment money received for 1,00,000 Shares at Rs 15 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application and Allotment A/c |
Dr. |
|
15,00,000 |
|
|
To Equity Share Capital A/c |
|
|
10,00,000 |
|
|
To Securities Premium A/c |
|
|
5,00,000 |
|
|
(Application and allotment money of 1,00,000 shares transferred to Equity Share Capital Account at Rs 10 each and Securities Premium at Rs 5 each) |
|
|
|
|
|
|
|
|
|
Answer:
Issued capital 10,000 equity shares of 10 each at 20% premium
Applied 9,000 equity shares
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,08,000 |
|
|
To Share Application A/c |
|
|
1,08,000 |
|
|
(Share application received for 9,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,08,000 |
|
|
To Equity Share Capital A/c |
|
|
90,000 |
|
|
To Securities Premium A/c |
|
|
18,000 |
|
|
(Share Application money of 9,000 Shares transferred to Equity Share Capital at Rs 10 each and to securities Premium at Rs 2 each) |
|
|
|
|
|
|
|
|
|
Page No 7.112:
Question 14:
Issued capital 10,000 equity shares of 10 each at 20% premium
Applied 9,000 equity shares
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,08,000 |
|
|
To Share Application A/c |
|
|
1,08,000 |
|
|
(Share application received for 9,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,08,000 |
|
|
To Equity Share Capital A/c |
|
|
90,000 |
|
|
To Securities Premium A/c |
|
|
18,000 |
|
|
(Share Application money of 9,000 Shares transferred to Equity Share Capital at Rs 10 each and to securities Premium at Rs 2 each) |
|
|
|
|
|
|
|
|
|
Answer:
Issued 10,000 shares of Rs 25 each at premium of Rs 5
Applied 10,000 shares
Payable as:
Application |
Rs |
5 |
|
Allotment |
Rs |
10 |
(5 + 5) |
First Call |
Rs |
5 |
|
Second Call |
Rs |
5 |
|
Final Call |
Rs |
5 |
|
|
Rs |
30 |
(25 + 5) |
Cash Book |
||||||||
Dr. |
Cr. |
|||||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
|
|
Share Application |
|
50,000 |
|
|
|
|
|
|
Share Allotment |
|
1,00,000 |
|
|
|
|
|
|
Share First Call |
|
50,000 |
|
|
|
|
|
|
Share Second Call |
|
49,000 |
|
|
|
|
|
|
Share Final Call |
|
48,000 |
|
Balance c/d |
|
2,97,000 |
|
|
|
|
2,97,000 |
|
|
|
2,97,000 |
|
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Application money of 10,000 shares of Rs 5 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
To Securities Premium A/c |
|
|
50,000 |
|
|
(Share allotment of 10,000 shares transferred to Share Capital at Rs 5 each and Securities Premium at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(First call due on 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Second Call A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Second call due on 10,000 shares at 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Call-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Share Second Call A/c |
|
|
1,000 |
|
|
(Second call outstanding on 200 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
50,000 |
|
|
To Shares Capital A/c |
|
|
50,000 |
|
|
(Final call due on 50,000 shares of Rs to 5 per shares) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,000 |
|
|
To Shares Final Call A/c |
|
|
2,000 |
|
|
(Final call outstanding on 400 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
Share Application Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
50,000 |
|
|
|
|
|
|
|
|
|
|
|
50,000 |
|
|
|
50,000 |
|
|
|
|
|
|
|
|
Share Allotment Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
1,00,000 |
|
Securities Premium |
|
50,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,00,000 |
|
|
|
1,00,000 |
|
|
|
|
|
|
|
|
Share First Call Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
50,000 |
|
|
|
|
|
|
|
|
|
|
|
50,000 |
|
|
|
50,000 |
|
|
|
|
|
|
|
|
Share Second Call Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
49,000 |
|
|
|
|
|
Calls-in-Arrears |
|
1,000 |
|
|
|
|
|
|
|
|
|
|
|
50,000 |
|
|
|
50,000 |
|
|
|
|
|
|
|
|
Share Final Call Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
Share Capital |
|
50,000 |
|
Bank |
|
48,000 |
||
|
|
|
|
|
Calls-in-Arrears |
|
2,000 |
||
|
|
|
|
|
|
|
|
||
|
|
|
50,000 |
|
|
|
50,000 |
||
|
|
|
|
|
|
|
|
||
Call-in-Arrears Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
Share Second Call |
|
1,000 |
|
|
|
|
||
|
Share Final Call |
|
2,000 |
|
|
|
|
||
|
|
|
|
|
Balance c/d |
|
3,000 |
||
|
|
|
3,000 |
|
|
|
3,000 |
||
|
|
|
|
|
|
|
|
||
Share Capital Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
|
|
|
|
Share Application |
|
50,000 |
||
|
|
|
|
|
Share Allotment |
|
50,000 |
||
|
|
|
|
|
Share First Call |
|
50,000 |
||
|
|
|
|
|
Share Second |
|
50,000 |
||
|
Balance c/d |
|
2,50,000 |
|
Share Final Call |
|
50,000 |
||
|
|
|
2,50,000 |
|
|
|
2,50,000 |
||
|
|
|
|
|
|
|
|
||
Securities Premium Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
Balance c/d |
|
50,000 |
|
Share Allotment |
|
50,000 |
||
|
|
|
|
|
|
|
|
||
|
|
|
50,000 |
|
|
|
50,000 |
||
|
|
|
|
|
|
|
|
||
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Limited |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,47,000 |
b. Reserves and Surplus |
2 |
50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,97,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,97,000 |
Total |
|
2,97,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 25 each |
… |
|
|
Issued Share Capital |
|
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
|
Less: Calls-in-Arrears |
(3,000) |
2,47,000 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
50,000 |
||
|
|||
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
2,97,000 |
|
|
|
|
Page No 7.112:
Question 15:
Issued 10,000 shares of Rs 25 each at premium of Rs 5
Applied 10,000 shares
Payable as:
Application |
Rs |
5 |
|
Allotment |
Rs |
10 |
(5 + 5) |
First Call |
Rs |
5 |
|
Second Call |
Rs |
5 |
|
Final Call |
Rs |
5 |
|
|
Rs |
30 |
(25 + 5) |
Cash Book |
||||||||
Dr. |
Cr. |
|||||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
|
|
Share Application |
|
50,000 |
|
|
|
|
|
|
Share Allotment |
|
1,00,000 |
|
|
|
|
|
|
Share First Call |
|
50,000 |
|
|
|
|
|
|
Share Second Call |
|
49,000 |
|
|
|
|
|
|
Share Final Call |
|
48,000 |
|
Balance c/d |
|
2,97,000 |
|
|
|
|
2,97,000 |
|
|
|
2,97,000 |
|
|
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Application money of 10,000 shares of Rs 5 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
To Securities Premium A/c |
|
|
50,000 |
|
|
(Share allotment of 10,000 shares transferred to Share Capital at Rs 5 each and Securities Premium at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(First call due on 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Second Call A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Second call due on 10,000 shares at 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Call-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Share Second Call A/c |
|
|
1,000 |
|
|
(Second call outstanding on 200 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
50,000 |
|
|
To Shares Capital A/c |
|
|
50,000 |
|
|
(Final call due on 50,000 shares of Rs to 5 per shares) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,000 |
|
|
To Shares Final Call A/c |
|
|
2,000 |
|
|
(Final call outstanding on 400 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
Share Application Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
50,000 |
|
|
|
|
|
|
|
|
|
|
|
50,000 |
|
|
|
50,000 |
|
|
|
|
|
|
|
|
Share Allotment Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
1,00,000 |
|
Securities Premium |
|
50,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,00,000 |
|
|
|
1,00,000 |
|
|
|
|
|
|
|
|
Share First Call Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
50,000 |
|
|
|
|
|
|
|
|
|
|
|
50,000 |
|
|
|
50,000 |
|
|
|
|
|
|
|
|
Share Second Call Account |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
|
|
|
|
|
|
|
|
|
Share Capital |
|
50,000 |
|
Bank |
|
49,000 |
|
|
|
|
|
Calls-in-Arrears |
|
1,000 |
|
|
|
|
|
|
|
|
|
|
|
50,000 |
|
|
|
50,000 |
|
|
|
|
|
|
|
|
Share Final Call Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
Share Capital |
|
50,000 |
|
Bank |
|
48,000 |
||
|
|
|
|
|
Calls-in-Arrears |
|
2,000 |
||
|
|
|
|
|
|
|
|
||
|
|
|
50,000 |
|
|
|
50,000 |
||
|
|
|
|
|
|
|
|
||
Call-in-Arrears Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
Share Second Call |
|
1,000 |
|
|
|
|
||
|
Share Final Call |
|
2,000 |
|
|
|
|
||
|
|
|
|
|
Balance c/d |
|
3,000 |
||
|
|
|
3,000 |
|
|
|
3,000 |
||
|
|
|
|
|
|
|
|
||
Share Capital Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
|
|
|
|
Share Application |
|
50,000 |
||
|
|
|
|
|
Share Allotment |
|
50,000 |
||
|
|
|
|
|
Share First Call |
|
50,000 |
||
|
|
|
|
|
Share Second |
|
50,000 |
||
|
Balance c/d |
|
2,50,000 |
|
Share Final Call |
|
50,000 |
||
|
|
|
2,50,000 |
|
|
|
2,50,000 |
||
|
|
|
|
|
|
|
|
||
Securities Premium Account |
|||||||||
Dr. |
|
Cr. |
|||||||
Date |
Particulars |
L.F. |
Amount Rs |
Date |
Particulars |
L.F. |
Amount Rs |
||
|
|
|
|
|
|
|
|
||
|
Balance c/d |
|
50,000 |
|
Share Allotment |
|
50,000 |
||
|
|
|
|
|
|
|
|
||
|
|
|
50,000 |
|
|
|
50,000 |
||
|
|
|
|
|
|
|
|
||
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Limited |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,47,000 |
b. Reserves and Surplus |
2 |
50,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,97,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,97,000 |
Total |
|
2,97,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 25 each |
… |
|
|
Issued Share Capital |
|
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
10,000 shares of Rs 25 each |
2,50,000 |
|
|
Less: Calls-in-Arrears |
(3,000) |
2,47,000 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
50,000 |
||
|
|||
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
2,97,000 |
|
|
|
|
Answer:
Authorised Capital 20,000 shares of Rs 10 each
Issued Capital 2,000 shares
Applied 1,800 shares
Payable as: |
|
|
|
Application |
Rs |
3 |
(2+1) |
Allotment |
Rs |
4 |
(3+1) |
First Call |
Rs |
2 |
|
Final Call |
Rs |
3 |
|
|
|
12 |
(10+2) |
Books of X Limited Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
5,400 |
|
|
|
To Share Application A/c |
|
|
5,400 |
||
|
(Application money received for 1,800 shares at Rs 3 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
5,400 |
|
|
|
To Share Capital A/c |
|
|
3,600 |
||
|
To Securities Premium A/c |
|
|
1,800 |
||
|
(Application money of 1,800 share transferred to Share Capital at Rs 2 per share and Securities Premium Re 1 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
7,200 |
|
|
|
To Share Capital A/c |
|
|
5,400 |
||
|
To Securities Premium A/c |
|
|
1,800 |
||
|
(Share allotment due on 1,800 shares at Rs 4 per share including Re 1 securities premium) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
7,200 |
|
|
|
To Share Allotment A/c |
|
|
7,200 |
||
|
(Share Allotment money received) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
3,600 |
|
|
|
To Share Capital A/c |
|
|
3,600 |
||
|
(Share first call due on 1,800 shares at Rs 2 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,600 |
|
|
|
To Share First Call A/c |
|
|
3,600 |
||
|
(Share first call money received) |
|
|
|
||
|
|
|
|
|
||
|
Share Final Call A/c |
Dr. |
|
5,400 |
|
|
|
To Share Capital A/c |
|
|
5,400 |
||
|
(Share final call due on 1,800 shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
|
5,400 |
|
||
|
To Share Final Call A/c |
Dr. |
|
|
5,400 |
|
|
(Share final call money received) |
|
|
|
||
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
X Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
18,000 |
b. Reserves and Surplus |
2 |
3,600 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
21,600 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
21,600 |
Total |
|
21,600 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Issued Share Capital |
|
|
2,000 shares of Rs 10 each |
20,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
1,800 shares of Rs 10 each |
18,000 |
|
|
|
2 |
Reserves and Surplus |
|
Securities Premium |
3,600 |
|
|
||
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
21,600 |
|
|
|
Page No 7.112:
Question 16:
Authorised Capital 20,000 shares of Rs 10 each
Issued Capital 2,000 shares
Applied 1,800 shares
Payable as: |
|
|
|
Application |
Rs |
3 |
(2+1) |
Allotment |
Rs |
4 |
(3+1) |
First Call |
Rs |
2 |
|
Final Call |
Rs |
3 |
|
|
|
12 |
(10+2) |
Books of X Limited Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
5,400 |
|
|
|
To Share Application A/c |
|
|
5,400 |
||
|
(Application money received for 1,800 shares at Rs 3 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
5,400 |
|
|
|
To Share Capital A/c |
|
|
3,600 |
||
|
To Securities Premium A/c |
|
|
1,800 |
||
|
(Application money of 1,800 share transferred to Share Capital at Rs 2 per share and Securities Premium Re 1 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
7,200 |
|
|
|
To Share Capital A/c |
|
|
5,400 |
||
|
To Securities Premium A/c |
|
|
1,800 |
||
|
(Share allotment due on 1,800 shares at Rs 4 per share including Re 1 securities premium) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
7,200 |
|
|
|
To Share Allotment A/c |
|
|
7,200 |
||
|
(Share Allotment money received) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
3,600 |
|
|
|
To Share Capital A/c |
|
|
3,600 |
||
|
(Share first call due on 1,800 shares at Rs 2 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,600 |
|
|
|
To Share First Call A/c |
|
|
3,600 |
||
|
(Share first call money received) |
|
|
|
||
|
|
|
|
|
||
|
Share Final Call A/c |
Dr. |
|
5,400 |
|
|
|
To Share Capital A/c |
|
|
5,400 |
||
|
(Share final call due on 1,800 shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
|
5,400 |
|
||
|
To Share Final Call A/c |
Dr. |
|
|
5,400 |
|
|
(Share final call money received) |
|
|
|
||
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
X Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
18,000 |
b. Reserves and Surplus |
2 |
3,600 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
21,600 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
21,600 |
Total |
|
21,600 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Issued Share Capital |
|
|
2,000 shares of Rs 10 each |
20,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
1,800 shares of Rs 10 each |
18,000 |
|
|
|
2 |
Reserves and Surplus |
|
Securities Premium |
3,600 |
|
|
||
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
21,600 |
|
|
|
Answer:
Suhani Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
21,00,000 |
b. Reserves and Surplus |
2 |
1,40,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
22,40,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
22,40,000 |
Total |
|
22,40,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
30,000 shares of Rs 150 each |
45,00,000 |
|
Issued Share Capital |
|
|
15,000 shares of Rs 150 each |
22,50,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
14,000 shares of Rs 150 each |
21,00,000 |
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
1,40,000 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
22,40,000 |
|
|
|
Page No 7.113:
Question 17:
Suhani Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
21,00,000 |
b. Reserves and Surplus |
2 |
1,40,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
22,40,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
22,40,000 |
Total |
|
22,40,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
30,000 shares of Rs 150 each |
45,00,000 |
|
Issued Share Capital |
|
|
15,000 shares of Rs 150 each |
22,50,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
14,000 shares of Rs 150 each |
21,00,000 |
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
1,40,000 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
22,40,000 |
|
|
|
Answer:
Authorised capital 30,000 shares of Rs 10 each
Issued Shares |
4,000 |
Less: Applied Shares |
6,000 |
Over-subscribed Shares |
(2,000) |
Payable as:
Application |
Rs |
2 |
|
Allotment |
Rs |
5 |
(3+2) |
First Call |
Rs |
3 |
|
Final Call |
Rs |
2 |
|
|
|
12 |
(10+2) per share |
Books of ABC Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
12,000 |
|
|
To Share Application A/c |
|
|
12,000 |
|
|
(Share application money received for 6,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
12,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
To Bank A/c |
|
|
4,000 |
|
|
(Share application of 4,000 shares transferred to Share Capital and money of 2,000 over-subscribed shares refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
12,000 |
|
|
To Securities Premium A/c |
|
|
8,000 |
|
|
(Allotment due on 4,000 shares at Rs 5 per share including Rs 2 securities premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
20,000 |
|
|
To Share Allotment A/c |
|
|
20,000 |
|
|
(Allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
12,000 |
|
|
To Share Capital A/c |
|
|
12,000 |
|
|
(First call due on 4,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
12,000 |
|
|
To Share First Call A/c |
|
|
12,000 |
|
|
(First call money received ) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital |
|
|
8,000 |
|
|
(Final call due on 4,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
To Share Final Call A/c |
|
|
8,000 |
|
|
(Final call money received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
ABC Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
40,000 |
b. Reserves and Surplus |
2 |
8,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
48,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
48,000 |
Total |
|
48,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
30,000 shares of Rs 10 each |
3,00,000 |
|
Issued Share Capital |
|
|
4,000 shares of Rs 10 each |
40,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
4,000 shares of Rs 10 each |
40,000 |
|
|
|
2 |
Reserves and Surplus |
|
Securities Premium |
8,000 |
|
|
||
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
48,000 |
|
|
|
Page No 7.113:
Question 18:
Authorised capital 30,000 shares of Rs 10 each
Issued Shares |
4,000 |
Less: Applied Shares |
6,000 |
Over-subscribed Shares |
(2,000) |
Payable as:
Application |
Rs |
2 |
|
Allotment |
Rs |
5 |
(3+2) |
First Call |
Rs |
3 |
|
Final Call |
Rs |
2 |
|
|
|
12 |
(10+2) per share |
Books of ABC Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
12,000 |
|
|
To Share Application A/c |
|
|
12,000 |
|
|
(Share application money received for 6,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
12,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
To Bank A/c |
|
|
4,000 |
|
|
(Share application of 4,000 shares transferred to Share Capital and money of 2,000 over-subscribed shares refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
12,000 |
|
|
To Securities Premium A/c |
|
|
8,000 |
|
|
(Allotment due on 4,000 shares at Rs 5 per share including Rs 2 securities premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
20,000 |
|
|
To Share Allotment A/c |
|
|
20,000 |
|
|
(Allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
12,000 |
|
|
To Share Capital A/c |
|
|
12,000 |
|
|
(First call due on 4,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
12,000 |
|
|
To Share First Call A/c |
|
|
12,000 |
|
|
(First call money received ) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital |
|
|
8,000 |
|
|
(Final call due on 4,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
To Share Final Call A/c |
|
|
8,000 |
|
|
(Final call money received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
ABC Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
40,000 |
b. Reserves and Surplus |
2 |
8,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
48,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
48,000 |
Total |
|
48,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
30,000 shares of Rs 10 each |
3,00,000 |
|
Issued Share Capital |
|
|
4,000 shares of Rs 10 each |
40,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
4,000 shares of Rs 10 each |
40,000 |
|
|
|
2 |
Reserves and Surplus |
|
Securities Premium |
8,000 |
|
|
||
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
48,000 |
|
|
|
Answer:
Amount payable as:
Application |
Rs |
10 |
|
Allotment |
Rs |
50 |
(40 + 10) |
First and Final Call |
Rs |
60 |
(50 + 10) |
|
|
120 |
(100 + 20) |
Books of X Company Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,30,000 |
|
|
To Share Application A/c |
|
|
2,30,000 |
|
|
(Share application money received for 23,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,30,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
To Share Allotment A/c |
|
|
50,000 |
|
|
To Bank A/c |
|
|
80,000 |
|
|
(Share application of 10,000 shares transferred to Share Capital, Rs 50,000 adjusted on allotment and remaining amount returned) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 10,000 shares at Rs 50 each including Rs 10 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,50,000 |
|
|
To Share Allotment A/c |
|
|
4,50,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
6,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(First and final call due on 10,000 shares at Rs 60 each including Rs 10 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,00,000 |
|
|
To Share First and Final Call A/c |
|
|
6,00,000 |
|
|
(Share first and final call money received) |
|
|
|
|
|
|
|
|
|
Posting in the Company's Balance Sheet
X Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
10,00,000 |
b. Reserves and Surplus |
2 |
2,00,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
12,00,000 |
|
|
|
II. Assets |
|
|
1.Non-Current Assets |
|
|
2.Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
12,00,000 |
Total |
|
12,00,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
…… shares of Rs 100 each |
- |
|
Issued Share Capital |
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
Subscribed, Called up and Paid up Share Capital |
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
|
|
2 |
Reserves and Surplus |
|
Securities Premium |
2,00,000 |
|
|
||
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
12,00,000 |
|
|
|
Working Notes:
Applied Shares |
Issued Shares |
Money received on Application @ Rs 10 each |
Money transferred to Share Capital @ Rs 10 each |
Excess |
Allotment due @ Rs 50 each |
Excess money adjusted on Allotment |
Excess money after Allotment |
12,000
|
1,000
|
1,20,000
|
10,000
|
1,10,000
|
50,000
|
50,000
|
60,000 (return) |
2,000 |
NIL |
20,000 |
– |
20,000 (return) |
|
|
|
9,000 |
9,000 |
90,000 |
90,000 |
– |
4,50,000 |
– |
– |
23,000 |
10,000 |
2,30,000 |
1,00,000 |
|
5,00,000 |
50,000 |
60,000 |
|
Share Allotment due (10,000 share × Rs 50) |
5,00,000 |
Less: Excess application money adjusted on allotment |
50,000 |
Money received on Allotment |
4,50,000 |
Page No 7.113:
Question 19:
Amount payable as:
Application |
Rs |
10 |
|
Allotment |
Rs |
50 |
(40 + 10) |
First and Final Call |
Rs |
60 |
(50 + 10) |
|
|
120 |
(100 + 20) |
Books of X Company Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,30,000 |
|
|
To Share Application A/c |
|
|
2,30,000 |
|
|
(Share application money received for 23,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,30,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
To Share Allotment A/c |
|
|
50,000 |
|
|
To Bank A/c |
|
|
80,000 |
|
|
(Share application of 10,000 shares transferred to Share Capital, Rs 50,000 adjusted on allotment and remaining amount returned) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 10,000 shares at Rs 50 each including Rs 10 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,50,000 |
|
|
To Share Allotment A/c |
|
|
4,50,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
6,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(First and final call due on 10,000 shares at Rs 60 each including Rs 10 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,00,000 |
|
|
To Share First and Final Call A/c |
|
|
6,00,000 |
|
|
(Share first and final call money received) |
|
|
|
|
|
|
|
|
|
Posting in the Company's Balance Sheet
X Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
10,00,000 |
b. Reserves and Surplus |
2 |
2,00,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
12,00,000 |
|
|
|
II. Assets |
|
|
1.Non-Current Assets |
|
|
2.Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
12,00,000 |
Total |
|
12,00,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
…… shares of Rs 100 each |
- |
|
Issued Share Capital |
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
Subscribed, Called up and Paid up Share Capital |
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
|
|
2 |
Reserves and Surplus |
|
Securities Premium |
2,00,000 |
|
|
||
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
12,00,000 |
|
|
|
Working Notes:
Applied Shares |
Issued Shares |
Money received on Application @ Rs 10 each |
Money transferred to Share Capital @ Rs 10 each |
Excess |
Allotment due @ Rs 50 each |
Excess money adjusted on Allotment |
Excess money after Allotment |
12,000
|
1,000
|
1,20,000
|
10,000
|
1,10,000
|
50,000
|
50,000
|
60,000 (return) |
2,000 |
NIL |
20,000 |
– |
20,000 (return) |
|
|
|
9,000 |
9,000 |
90,000 |
90,000 |
– |
4,50,000 |
– |
– |
23,000 |
10,000 |
2,30,000 |
1,00,000 |
|
5,00,000 |
50,000 |
60,000 |
|
Share Allotment due (10,000 share × Rs 50) |
5,00,000 |
Less: Excess application money adjusted on allotment |
50,000 |
Money received on Allotment |
4,50,000 |
Answer:
Issued 20,000 equity shares of Rs 20 each at 10% discount
Applied 20,000 equity shares
Books of ABC Limited Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,60,000 |
|
|
|
To Equity Share Application A/c |
|
|
3,60,000 |
||
|
(Share application money received for 20,000 shares at Rs 18 each) |
|
|
|
||
|
|
|
|
|
||
|
Discount on Issue of Shares A/c |
Dr. |
|
40,000 |
|
|
|
Equity Share Application A/c |
Dr. |
|
3,60,000 |
|
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
||
|
(Application money transferred to Equity Share Capital and discount on issue shares adjusted) |
|
|
|
||
|
|
|
|
|
Page No 7.113:
Question 20:
Issued 20,000 equity shares of Rs 20 each at 10% discount
Applied 20,000 equity shares
Books of ABC Limited Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,60,000 |
|
|
|
To Equity Share Application A/c |
|
|
3,60,000 |
||
|
(Share application money received for 20,000 shares at Rs 18 each) |
|
|
|
||
|
|
|
|
|
||
|
Discount on Issue of Shares A/c |
Dr. |
|
40,000 |
|
|
|
Equity Share Application A/c |
Dr. |
|
3,60,000 |
|
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
||
|
(Application money transferred to Equity Share Capital and discount on issue shares adjusted) |
|
|
|
||
|
|
|
|
|
Answer:
Issued 10,000 shares of Rs 15 each at Re 1 discount
Applied 10,000 shares
Application |
Rs |
5 |
|
Allotment |
Rs |
9 |
(10 – 1) |
|
Rs |
14 |
(15 – 1) |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
50,000 |
|
|
To Share Application A/c |
|
|
50,000 |
|
|
(Share application money received for 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
90,000 |
|
|
Discount on issue of Shares A/c |
|
10,000 |
|
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 10,000 shares at Rs 9 each after deducting Re 1 discount) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
90,000 |
|
|
To Share Allotment A/c |
|
|
90,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
Page No 7.113:
Question 21:
Issued 10,000 shares of Rs 15 each at Re 1 discount
Applied 10,000 shares
Application |
Rs |
5 |
|
Allotment |
Rs |
9 |
(10 – 1) |
|
Rs |
14 |
(15 – 1) |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
50,000 |
|
|
To Share Application A/c |
|
|
50,000 |
|
|
(Share application money received for 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
90,000 |
|
|
Discount on issue of Shares A/c |
|
10,000 |
|
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 10,000 shares at Rs 9 each after deducting Re 1 discount) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
90,000 |
|
|
To Share Allotment A/c |
|
|
90,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
Answer:
Issued 50,000 shares of Rs 10 each at 10% discount
Applied 75,000 shares
Payable as:
Application |
Rs |
2 |
|
Allotment |
Rs |
3 |
(4–1) |
First Call |
Rs |
2 |
|
Final Call |
Rs |
2 |
|
|
|
9 |
(10–1) |
Money received on Application 75,000 shares ×Rs 2 |
1,50,000 |
Less: Application money transferred to Share Capital (50,000 shares × Rs 2) |
1,00,000 |
|
50,000 |
Less: Money refunded for 10,000 shares × Rs 2 |
20,000 |
Excess money on Application (transferred to Allotment) |
30,000 |
|
|
Share Allotment due on 50,000 shares × Rs 3 |
1,50,000 |
Less: Excess Application money adjusted |
30,000 |
|
1,20,000 |
Less: Calls-in-Arrears on Allotment 15,000 shares × Rs 3 |
45,000 |
Money received for allotment |
75,000 |
Add: Calls-in-Advance 3,500 × 4 |
14,000 |
Money received on Allotment |
89,000 |
Page No 7.113:
Question 22:
Issued 50,000 shares of Rs 10 each at 10% discount
Applied 75,000 shares
Payable as:
Application |
Rs |
2 |
|
Allotment |
Rs |
3 |
(4–1) |
First Call |
Rs |
2 |
|
Final Call |
Rs |
2 |
|
|
|
9 |
(10–1) |
Money received on Application 75,000 shares ×Rs 2 |
1,50,000 |
Less: Application money transferred to Share Capital (50,000 shares × Rs 2) |
1,00,000 |
|
50,000 |
Less: Money refunded for 10,000 shares × Rs 2 |
20,000 |
Excess money on Application (transferred to Allotment) |
30,000 |
|
|
Share Allotment due on 50,000 shares × Rs 3 |
1,50,000 |
Less: Excess Application money adjusted |
30,000 |
|
1,20,000 |
Less: Calls-in-Arrears on Allotment 15,000 shares × Rs 3 |
45,000 |
Money received for allotment |
75,000 |
Add: Calls-in-Advance 3,500 × 4 |
14,000 |
Money received on Allotment |
89,000 |
Answer:
Authorised capital 50,000 shares of Rs 100 each at 4% discount
Issued capital 10,000 shares
Subscribed capital 9,000 shares
Payable as:
Application |
Rs |
20 |
|
Allotment |
Rs |
30 |
(34 – 4) |
First and Final Call |
Rs |
46 |
|
|
Rs |
96 |
(100 – 4) |
Books of XYZ Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,80,000 |
|
|
To Share Application A/c |
|
|
1,80,000 |
|
|
(Share application money received for 9,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,80,000 |
|
|
To Share Capital A/c |
|
|
1,80,000 |
|
|
(Share application of 9,000 shares at Rs 20 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,70,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
36,000 |
|
|
To Share Capital A/c |
|
|
3,06,000 |
|
|
(Share allotment due on 9,000 shares at Rs 30 each after deducting discount Rs 4) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,70,000 |
|
|
To Share Allotment A/c |
|
|
2,70,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
4,14,000 |
|
|
To Share Capital A/c |
|
|
4,14,000 |
|
|
(Share first and final call due on 9,000 shares at Rs 46) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,14,000 |
|
|
To Share First and Final Call A/c |
|
|
4,14,000 |
|
|
(Share First and Final Call money received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
XYZ Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Fund |
|
|
a. Share Capital |
1 |
9,00,000 |
b. Reserves & Surplus |
2 | (7,200) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
8,92,800 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
3 |
21,600 |
2. Current Assets |
4 |
8,71,200 |
Total |
|
8,92,800 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
50,000 shares of Rs 100 each |
50,00,000 |
|
Issued Share Capital |
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
9,000 shares of Rs 100 each |
9,00,000 |
|
||
2 | Reserves & Surplus | |
Statement of Profit & Loss |
(7,200) |
|
3 |
Other Non-Current Assets |
|
|
Unamortised Discount on Issue of Shares |
21,600 |
|
|
|
4 |
Current Assets |
|
|
Cash at Bank |
8,64,000 |
Unamortised Discount on Issue of Shares |
7,200 | |
8,71,200 | ||
|
|
|
Important points to remember:
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 7,200 [36,000 / 5] for each year is shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 28,800 [36,000 – 7,200] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Page No 7.113:
Question 23:
Authorised capital 50,000 shares of Rs 100 each at 4% discount
Issued capital 10,000 shares
Subscribed capital 9,000 shares
Payable as:
Application |
Rs |
20 |
|
Allotment |
Rs |
30 |
(34 – 4) |
First and Final Call |
Rs |
46 |
|
|
Rs |
96 |
(100 – 4) |
Books of XYZ Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,80,000 |
|
|
To Share Application A/c |
|
|
1,80,000 |
|
|
(Share application money received for 9,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,80,000 |
|
|
To Share Capital A/c |
|
|
1,80,000 |
|
|
(Share application of 9,000 shares at Rs 20 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,70,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
36,000 |
|
|
To Share Capital A/c |
|
|
3,06,000 |
|
|
(Share allotment due on 9,000 shares at Rs 30 each after deducting discount Rs 4) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,70,000 |
|
|
To Share Allotment A/c |
|
|
2,70,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
4,14,000 |
|
|
To Share Capital A/c |
|
|
4,14,000 |
|
|
(Share first and final call due on 9,000 shares at Rs 46) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,14,000 |
|
|
To Share First and Final Call A/c |
|
|
4,14,000 |
|
|
(Share First and Final Call money received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
XYZ Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Fund |
|
|
a. Share Capital |
1 |
9,00,000 |
b. Reserves & Surplus |
2 | (7,200) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
8,92,800 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
3 |
21,600 |
2. Current Assets |
4 |
8,71,200 |
Total |
|
8,92,800 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
50,000 shares of Rs 100 each |
50,00,000 |
|
Issued Share Capital |
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
9,000 shares of Rs 100 each |
9,00,000 |
|
||
2 | Reserves & Surplus | |
Statement of Profit & Loss |
(7,200) |
|
3 |
Other Non-Current Assets |
|
|
Unamortised Discount on Issue of Shares |
21,600 |
|
|
|
4 |
Current Assets |
|
|
Cash at Bank |
8,64,000 |
Unamortised Discount on Issue of Shares |
7,200 | |
8,71,200 | ||
|
|
|
Important points to remember:
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 7,200 [36,000 / 5] for each year is shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 28,800 [36,000 – 7,200] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Answer:
|
|
|
Applied |
|
Allotted |
15,000 |
|
10,000 |
5,000 |
|
NIL |
20,000 |
|
10,000 |
Payable |
|
|
|
Application |
Rs |
20 |
|
Allotment |
Rs |
30 |
(35–5) |
First Call |
Rs |
25 |
|
Final Call |
Rs |
20 |
|
|
|
95 |
(100–5) per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,00,000 |
|
|
To Preference Share Application A/c |
|
|
4,00,000 |
|
|
(Application money received for 20,000 10% Preference Shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Application A/c |
Dr. |
|
4,00,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
2,00,000 |
|
|
To Preference Share Allotment A/c |
|
|
1,00,000 |
|
|
To Bank A/c (5,000 shares × Rs 20) |
|
|
1,00,000 |
|
|
(Application money of 10,000 shares at Rs 20 each transferred to 10% Preference Share Capital, 5,000 shares money adjusted on allotment and money of remaining 5,000 shares refunded) |
|
|
|
|
|
|
|
|
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
Preference Share Allotment A/c |
Dr. |
|
3,00,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
3,50,000 |
|
|
(Allotment due on 10,000 10% Preference Shares at Rs 30 per share after a discount Rs 5) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To 10% Preference Shares Allotment A/c |
|
|
2,00,000 |
|
|
(Allotment received after adjustment of excess money of application) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share First Call A/c |
Dr. |
|
2,50,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
2,50,000 |
|
|
(First call due on 10,000 10% Preference Shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,50,000 |
|
|
To Preference Share First call A/c |
|
|
2,50,000 |
|
|
(Share first call received) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Final call A/c |
Dr. |
|
2,00,000 |
|
|
To 10% Preference Share Final Call A/c |
|
|
2,00,000 |
|
|
(Share final call due on 10,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To Preference Share Final call A/c |
|
|
2,00,000 |
|
|
(Share final call received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
ABC Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
10,00,000 |
b. Reserves & Surplus |
2 | (10,000) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
9,90,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
2 |
30,000 |
|
|
|
2. Current Assets |
3 |
9,60,000 |
Total |
|
9,90,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
2,00,000 Equity Shares of Rs 10 each |
20,00,000 |
|
20,000 10% Preference Shares of Rs 100 each |
20,00,000 |
|
Issued Share Capital |
|
|
10,000 10 % Preference Shares of Rs 100 each |
10,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
10,000 10 % Preference Shares of Rs 100 each |
10,00,000 |
|
||
Reserves & Surplus | ||
Statement of Profit & Loss |
(10,000) | |
2 |
Other Non-Current Assets |
|
|
Unamortised Discount on Issue of Shares |
30,000 |
|
|
|
3 |
Current Assets |
|
|
Cash at Bank |
9,50,000 |
Unamortised Discount on Issue of Shares |
10,000 | |
9,60,000 | ||
|
|
|
Note: -
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 10,000 [50,000 / 5] for each year and shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 40,000 [50,000 – 10,000] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Page No 7.114:
Question 24:
|
|
|
Applied |
|
Allotted |
15,000 |
|
10,000 |
5,000 |
|
NIL |
20,000 |
|
10,000 |
Payable |
|
|
|
Application |
Rs |
20 |
|
Allotment |
Rs |
30 |
(35–5) |
First Call |
Rs |
25 |
|
Final Call |
Rs |
20 |
|
|
|
95 |
(100–5) per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,00,000 |
|
|
To Preference Share Application A/c |
|
|
4,00,000 |
|
|
(Application money received for 20,000 10% Preference Shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Application A/c |
Dr. |
|
4,00,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
2,00,000 |
|
|
To Preference Share Allotment A/c |
|
|
1,00,000 |
|
|
To Bank A/c (5,000 shares × Rs 20) |
|
|
1,00,000 |
|
|
(Application money of 10,000 shares at Rs 20 each transferred to 10% Preference Share Capital, 5,000 shares money adjusted on allotment and money of remaining 5,000 shares refunded) |
|
|
|
|
|
|
|
|
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
Preference Share Allotment A/c |
Dr. |
|
3,00,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
3,50,000 |
|
|
(Allotment due on 10,000 10% Preference Shares at Rs 30 per share after a discount Rs 5) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To 10% Preference Shares Allotment A/c |
|
|
2,00,000 |
|
|
(Allotment received after adjustment of excess money of application) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share First Call A/c |
Dr. |
|
2,50,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
2,50,000 |
|
|
(First call due on 10,000 10% Preference Shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,50,000 |
|
|
To Preference Share First call A/c |
|
|
2,50,000 |
|
|
(Share first call received) |
|
|
|
|
|
|
|
|
|
|
|
Preference Share Final call A/c |
Dr. |
|
2,00,000 |
|
|
To 10% Preference Share Final Call A/c |
|
|
2,00,000 |
|
|
(Share final call due on 10,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To Preference Share Final call A/c |
|
|
2,00,000 |
|
|
(Share final call received) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
ABC Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
10,00,000 |
b. Reserves & Surplus |
2 | (10,000) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
9,90,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
2 |
30,000 |
|
|
|
2. Current Assets |
3 |
9,60,000 |
Total |
|
9,90,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
2,00,000 Equity Shares of Rs 10 each |
20,00,000 |
|
20,000 10% Preference Shares of Rs 100 each |
20,00,000 |
|
Issued Share Capital |
|
|
10,000 10 % Preference Shares of Rs 100 each |
10,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
10,000 10 % Preference Shares of Rs 100 each |
10,00,000 |
|
||
Reserves & Surplus | ||
Statement of Profit & Loss |
(10,000) | |
2 |
Other Non-Current Assets |
|
|
Unamortised Discount on Issue of Shares |
30,000 |
|
|
|
3 |
Current Assets |
|
|
Cash at Bank |
9,50,000 |
Unamortised Discount on Issue of Shares |
10,000 | |
9,60,000 | ||
|
|
|
Note: -
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 10,000 [50,000 / 5] for each year and shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 40,000 [50,000 – 10,000] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Answer:
Issued capital 20,000 equity shares of Rs 10 each at Re 1 discount
Applied 35,000 shares
|
|
|
|
|
|
|
Applied Shares |
Allotted Shares |
Money received on Application @ Rs 3 each |
Application money transferred to Share Capital @ Rs 3 each |
Excess Money |
Allotment due @ Rs 3 each |
Excess money adjusted on Allotment |
5,000 |
5,000 |
15,000 |
15,000 |
– |
15,000 |
– |
30,000 |
15,000 |
90,000 |
45,000 |
45,000 |
45,000 |
45,000 |
|
|
|
|
|
|
|
35,000 |
20,000 |
1,05,000 |
60,000 |
45,000 |
60,000 |
45,000 |
|
Books of A Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,05,000 |
|
|
To Equity Share Application A/c |
|
|
1,05,000 |
|
|
(Share application money received for 35,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,05,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Equity Share Allotment A/c |
|
|
45,000 |
|
|
(Application money of 20,000 shares at Rs 3 per share transferred to Share Capital and remaining application money to share allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
60,000 |
|
|
Discount on Issued of Shares A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 20,000 shares at Rs 3 per share after deducting discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,000 |
|
|
To Share Allotment A/c |
|
|
15,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final call A/c |
Dr. |
|
60,000 |
|
|
To Share Capital A/c |
|
|
60,000 |
|
|
(Share first and final call due on 20,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
58,800 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,200 |
|
|
To Share First and Final A/c |
|
|
60,000 |
|
|
(Share first and final call received on all the shares expect 400 shares) |
|
|
|
|
|
|
|
|
|
Page No 7.114:
Question 25:
Issued capital 20,000 equity shares of Rs 10 each at Re 1 discount
Applied 35,000 shares
|
|
|
|
|
|
|
Applied Shares |
Allotted Shares |
Money received on Application @ Rs 3 each |
Application money transferred to Share Capital @ Rs 3 each |
Excess Money |
Allotment due @ Rs 3 each |
Excess money adjusted on Allotment |
5,000 |
5,000 |
15,000 |
15,000 |
– |
15,000 |
– |
30,000 |
15,000 |
90,000 |
45,000 |
45,000 |
45,000 |
45,000 |
|
|
|
|
|
|
|
35,000 |
20,000 |
1,05,000 |
60,000 |
45,000 |
60,000 |
45,000 |
|
Books of A Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,05,000 |
|
|
To Equity Share Application A/c |
|
|
1,05,000 |
|
|
(Share application money received for 35,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,05,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Equity Share Allotment A/c |
|
|
45,000 |
|
|
(Application money of 20,000 shares at Rs 3 per share transferred to Share Capital and remaining application money to share allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
60,000 |
|
|
Discount on Issued of Shares A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 20,000 shares at Rs 3 per share after deducting discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,000 |
|
|
To Share Allotment A/c |
|
|
15,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final call A/c |
Dr. |
|
60,000 |
|
|
To Share Capital A/c |
|
|
60,000 |
|
|
(Share first and final call due on 20,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
58,800 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,200 |
|
|
To Share First and Final A/c |
|
|
60,000 |
|
|
(Share first and final call received on all the shares expect 400 shares) |
|
|
|
|
|
|
|
|
|
Answer:
Amount Received on Allotment = Allotment Due on Allotment – Excess Money Received on Application (utilised on allotment) + Amount Received in Advance – Amount Unpaid by Shareholders
= 1,50,000 – 20,000 + 12,000 – 30,000 = 1,12,000
Working Notes:
WN 1
Computation Table |
||||||
1 |
2 |
3 |
4 |
5 |
6 |
7 |
Category |
Shares Applied |
Shares Allotted |
Money Received on application at Rs 2 each |
Application Money transferred to Share Capital at Rs 2 each |
Excess money on Application utilised on Allotment |
Bank (Refund) |
(i) |
10,000 |
– |
20,000 |
– |
– |
20,000 |
(ii) |
10,000 |
10,000 |
20,000 |
20,000 |
– |
– |
(iii) |
50,000 |
40,000 |
1,00,000 |
80,000 |
20,000 |
– |
Total |
70,000 |
50,000 |
1,40,000 |
1,00,000 |
20,000 |
20,000 |
|
|
|
|
|
|
|
WN 1 Calculation of Unpaid Amount on Allotment by Mohan
Amount Due on Allotment = 10,000 × 3 = 30,000
WN 2 Calculation of Amount Received in Advance from Sohan
No. of Shares Allotted = 3,000 shares
Amount received in advance (of both calls) = 3,000 × 4 = 12,000
Page No 7.114:
Question 26:
Amount Received on Allotment = Allotment Due on Allotment – Excess Money Received on Application (utilised on allotment) + Amount Received in Advance – Amount Unpaid by Shareholders
= 1,50,000 – 20,000 + 12,000 – 30,000 = 1,12,000
Working Notes:
WN 1
Computation Table |
||||||
1 |
2 |
3 |
4 |
5 |
6 |
7 |
Category |
Shares Applied |
Shares Allotted |
Money Received on application at Rs 2 each |
Application Money transferred to Share Capital at Rs 2 each |
Excess money on Application utilised on Allotment |
Bank (Refund) |
(i) |
10,000 |
– |
20,000 |
– |
– |
20,000 |
(ii) |
10,000 |
10,000 |
20,000 |
20,000 |
– |
– |
(iii) |
50,000 |
40,000 |
1,00,000 |
80,000 |
20,000 |
– |
Total |
70,000 |
50,000 |
1,40,000 |
1,00,000 |
20,000 |
20,000 |
|
|
|
|
|
|
|
WN 1 Calculation of Unpaid Amount on Allotment by Mohan
Amount Due on Allotment = 10,000 × 3 = 30,000
WN 2 Calculation of Amount Received in Advance from Sohan
No. of Shares Allotted = 3,000 shares
Amount received in advance (of both calls) = 3,000 × 4 = 12,000
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
25,000 |
|
|
To X Ltd. |
|
|
25,000 |
|
|
(Assets bought from X Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
X Ltd. |
Dr. |
|
25,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
To Securities Premium A/c | 5,000 | ||||
|
(2,000 shares of Rs 10 each issued to X Ltd.) |
|
|
|
|
|
|
|
|
|
Page No 7.114:
Question 27:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
25,000 |
|
|
To X Ltd. |
|
|
25,000 |
|
|
(Assets bought from X Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
X Ltd. |
Dr. |
|
25,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
To Securities Premium A/c | 5,000 | ||||
|
(2,000 shares of Rs 10 each issued to X Ltd.) |
|
|
|
|
|
|
|
|
|
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Plant and Machinery A/c |
Dr. |
|
99,000 |
|
|
To Vendor A/c |
|
|
99,000 |
|
|
(Plant and Machinery purchased) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
99,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(1,000 shares of Rs 100 each issued to vendor of plant and machinery after allowing discount) |
|
|
|
|
|
|
|
|
|
Page No 7.114:
Question 28:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Plant and Machinery A/c |
Dr. |
|
99,000 |
|
|
To Vendor A/c |
|
|
99,000 |
|
|
(Plant and Machinery purchased) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
99,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(1,000 shares of Rs 100 each issued to vendor of plant and machinery after allowing discount) |
|
|
|
|
|
|
|
|
|
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
4,50,000 |
|
|
To Vendor |
|
|
4,50,000 |
|
|
(Assets purchased from vendor) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
4,50,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
5,00,000 |
|
|
(20,000 shares at Rs 25 each issued at 10% discount to vendor of assets) |
|
|
|
|
|
|
|
|
|
Working Note-
Page No 7.114:
Question 29:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
4,50,000 |
|
|
To Vendor |
|
|
4,50,000 |
|
|
(Assets purchased from vendor) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
4,50,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
To 10% Preference Share Capital A/c |
|
|
5,00,000 |
|
|
(20,000 shares at Rs 25 each issued at 10% discount to vendor of assets) |
|
|
|
|
|
|
|
|
|
Working Note-
Answer:
Books of Ram & Co. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Machinery A/c |
Dr. |
|
4,00,000 |
|
|
To Mona & Co. |
|
|
4,00,000 |
|
|
(Machinery purchased from Mona & Co.) |
|
|
|
|
|
|
|
|
|
|
|
Mona & Co. |
Dr. |
|
1,75,000 |
|
|
To Bank A/c |
|
|
1,75,000 |
|
|
(Amount paid to Mona &Co. through by bank draft) |
|
|
|
|
|
|
|
|
|
|
|
Mona & Co. |
Dr. |
|
2,25,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
25,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(25,000 shares of Rs 10 each issued at 10% discount to Mona & Co.) |
|
|
|
|
|
|
|
|
|
Working Note-
Page No 7.114:
Question 30:
Books of Ram & Co. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Machinery A/c |
Dr. |
|
4,00,000 |
|
|
To Mona & Co. |
|
|
4,00,000 |
|
|
(Machinery purchased from Mona & Co.) |
|
|
|
|
|
|
|
|
|
|
|
Mona & Co. |
Dr. |
|
1,75,000 |
|
|
To Bank A/c |
|
|
1,75,000 |
|
|
(Amount paid to Mona &Co. through by bank draft) |
|
|
|
|
|
|
|
|
|
|
|
Mona & Co. |
Dr. |
|
2,25,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
25,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(25,000 shares of Rs 10 each issued at 10% discount to Mona & Co.) |
|
|
|
|
|
|
|
|
|
Working Note-
Answer:
Books of ABC Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
3,80,000 |
|
|
To Ram Traders |
|
|
3,80,000 |
|
|
(Assets purchased from Ram Traders) |
|
|
|
|
|
|
|
|
|
|
|
Ram Traders |
Dr. |
|
3,80,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
4,00,000 |
|
|
(4,000 share of Rs 100 each issued at 5% discount to Ram Traders) |
|
|
|
|
|
|
|
|
|
Working Notes-
Page No 7.114:
Question 31:
Books of ABC Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
3,80,000 |
|
|
To Ram Traders |
|
|
3,80,000 |
|
|
(Assets purchased from Ram Traders) |
|
|
|
|
|
|
|
|
|
|
|
Ram Traders |
Dr. |
|
3,80,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
4,00,000 |
|
|
(4,000 share of Rs 100 each issued at 5% discount to Ram Traders) |
|
|
|
|
|
|
|
|
|
Working Notes-
Answer:
Books of R Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
5,00,000 |
|
|
To Krishan Ltd. |
|
|
5,00,000 |
|
|
(Assets purchased from Krishan Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Krishan Ltd. |
Dr. |
|
80,000 |
|
|
To Bank A/c |
|
|
80,000 |
|
|
(Payment made to Krishan Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Krishna Ltd. |
Dr. |
|
4,20,000 |
|
|
To Share Capital A/c |
|
|
3,00,000 |
|
|
To Securities Premium A/c |
|
|
1,20,000 |
|
|
(3,000 shares of Rs 100 each issued at a premium of Rs 40) |
|
|
|
|
|
|
|
|
|
Working Notes:
Page No 7.114:
Question 32:
Books of R Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
5,00,000 |
|
|
To Krishan Ltd. |
|
|
5,00,000 |
|
|
(Assets purchased from Krishan Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Krishan Ltd. |
Dr. |
|
80,000 |
|
|
To Bank A/c |
|
|
80,000 |
|
|
(Payment made to Krishan Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Krishna Ltd. |
Dr. |
|
4,20,000 |
|
|
To Share Capital A/c |
|
|
3,00,000 |
|
|
To Securities Premium A/c |
|
|
1,20,000 |
|
|
(3,000 shares of Rs 100 each issued at a premium of Rs 40) |
|
|
|
|
|
|
|
|
|
Working Notes:
Answer:
Books of R Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Sundry Assets A/c |
Dr. |
|
4,50,000 |
|
|
To Murari Ltd. |
|
|
4,50,000 |
|
|
(Business purchased from Murari Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Murari Ltd. |
Dr. |
|
4,50,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(50,000 shares of Rs 10 each issued at 10% discount to Murari Ltd.) |
|
|
|
|
|
|
|
|
|
Working Note:
Page No 7.114:
Question 33:
Books of R Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Sundry Assets A/c |
Dr. |
|
4,50,000 |
|
|
To Murari Ltd. |
|
|
4,50,000 |
|
|
(Business purchased from Murari Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Murari Ltd. |
Dr. |
|
4,50,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(50,000 shares of Rs 10 each issued at 10% discount to Murari Ltd.) |
|
|
|
|
|
|
|
|
|
Working Note:
Answer:
Books of T Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Plant and Machinery A/c |
Dr. |
|
6,00,000 |
|
|
To Gopal Ltd. |
|
|
6,00,000 |
|
|
(Plant and machinery purchased from Gopal Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Gopal Ltd. |
Dr. |
|
1,50,000 |
|
|
To Bank A/c |
|
|
1,50,000 |
|
|
(Payment made to Gopal Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Gopal Ltd. |
Dr. |
|
4,50,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(5,000 equity shares of Rs 100 each |
|
|
|
|
|
issued at 10% discount to Gopal Ltd.) |
|
|
|
|
|
|
|
|
|
Working Notes-
Page No 7.115:
Question 34:
Books of T Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Plant and Machinery A/c |
Dr. |
|
6,00,000 |
|
|
To Gopal Ltd. |
|
|
6,00,000 |
|
|
(Plant and machinery purchased from Gopal Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Gopal Ltd. |
Dr. |
|
1,50,000 |
|
|
To Bank A/c |
|
|
1,50,000 |
|
|
(Payment made to Gopal Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Gopal Ltd. |
Dr. |
|
4,50,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(5,000 equity shares of Rs 100 each |
|
|
|
|
|
issued at 10% discount to Gopal Ltd.) |
|
|
|
|
|
|
|
|
|
Working Notes-
Answer:
Books of Y Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Furniture A/c |
Dr. |
|
1,35,000 |
|
|
To A. B. Ltd. |
|
|
1,35,000 |
|
|
(Furniture purchased from A. B Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
A.B Ltd. |
Dr. |
|
1,35,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
15,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
(15,000 equity shares of Rs 10 each issued at 10% discount to A.B. Ltd.) |
|
|
|
|
|
|
|
|
|
Working Note:
Page No 7.115:
Question 35:
Books of Y Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Furniture A/c |
Dr. |
|
1,35,000 |
|
|
To A. B. Ltd. |
|
|
1,35,000 |
|
|
(Furniture purchased from A. B Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
A.B Ltd. |
Dr. |
|
1,35,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
15,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
(15,000 equity shares of Rs 10 each issued at 10% discount to A.B. Ltd.) |
|
|
|
|
|
|
|
|
|
Working Note:
Answer:
Books of Rajan Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
5,00,000 |
|
|
To Geeta & Co. |
|
|
5,00,000 |
|
|
(Assets purchased from Geeta & Co.) |
|
|
|
|
|
|
|
|
|
|
|
Geeta & Co. |
Dr. |
|
1,00,000 |
|
|
To Bank A/c |
|
|
1,00,000 |
|
|
(Payment made to Geeta & Co.) |
|
|
|
|
|
|
|
|
|
|
|
Geeta & Co. |
Dr. |
|
4,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,20,000 |
|
|
To Securities Premium A/c |
|
|
80,000 |
|
|
(32,000 equity shares of Rs 10 issued at 25% premium) |
|
|
|
|
|
|
|
|
|
Working Note-
Page No 7.115:
Question 36:
Books of Rajan Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
5,00,000 |
|
|
To Geeta & Co. |
|
|
5,00,000 |
|
|
(Assets purchased from Geeta & Co.) |
|
|
|
|
|
|
|
|
|
|
|
Geeta & Co. |
Dr. |
|
1,00,000 |
|
|
To Bank A/c |
|
|
1,00,000 |
|
|
(Payment made to Geeta & Co.) |
|
|
|
|
|
|
|
|
|
|
|
Geeta & Co. |
Dr. |
|
4,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,20,000 |
|
|
To Securities Premium A/c |
|
|
80,000 |
|
|
(32,000 equity shares of Rs 10 issued at 25% premium) |
|
|
|
|
|
|
|
|
|
Working Note-
Answer:
Books of Z Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
2,20,000 |
|
|
To C.D Ltd. |
|
|
2,20,000 |
|
|
(Assets purchased from C.D Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
C.D Ltd. |
Dr. |
|
2,20,000 |
|
|
To 9% Preference Share Capital |
|
|
2,00,000 |
|
|
To Securities Premium A/c |
|
|
20,000 |
|
|
(2,000 9% Preference Shares of Rs 100 each issued at 10% premium to C.D Ltd.) |
|
|
|
|
|
|
|
|
|
Working Note:
Page No 7.115:
Question 37:
Books of Z Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Assets A/c |
Dr. |
|
2,20,000 |
|
|
To C.D Ltd. |
|
|
2,20,000 |
|
|
(Assets purchased from C.D Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
C.D Ltd. |
Dr. |
|
2,20,000 |
|
|
To 9% Preference Share Capital |
|
|
2,00,000 |
|
|
To Securities Premium A/c |
|
|
20,000 |
|
|
(2,000 9% Preference Shares of Rs 100 each issued at 10% premium to C.D Ltd.) |
|
|
|
|
|
|
|
|
|
Working Note:
Answer:
Books Good Luck Ltd. Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Machinery A/c |
Dr. |
|
10,00,000 |
|
|
|
To Fail Deals Ltd. |
|
|
10,00,000 |
||
|
(Machinery purchased from Fair Deals Ltd.) |
|
|
|
||
|
|
|
|
|
||
|
Fair Deals Ltd. |
Dr. |
|
10,00,000 |
|
|
|
To Equity Share Capital A/c |
|
|
8,00,000 |
||
|
To Securities Premium A/c |
|
|
2,00,000 |
||
|
(80,000 equity shares of Rs 10 each issued at 25% premium) |
|
|
|
||
|
|
|
|
|
Working Note-
Page No 7.115:
Question 38:
Books Good Luck Ltd. Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Machinery A/c |
Dr. |
|
10,00,000 |
|
|
|
To Fail Deals Ltd. |
|
|
10,00,000 |
||
|
(Machinery purchased from Fair Deals Ltd.) |
|
|
|
||
|
|
|
|
|
||
|
Fair Deals Ltd. |
Dr. |
|
10,00,000 |
|
|
|
To Equity Share Capital A/c |
|
|
8,00,000 |
||
|
To Securities Premium A/c |
|
|
2,00,000 |
||
|
(80,000 equity shares of Rs 10 each issued at 25% premium) |
|
|
|
||
|
|
|
|
|
Working Note-
Answer:
Books of Jain Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Machinery A/c |
Dr. |
|
10,00,000 |
|
|
To Ayer Ltd. |
|
|
10,00,000 |
|
|
(Machinery purchased from Ayer Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Ayer Ltd. |
Dr. |
|
5,00,000 |
|
|
To Bank A/c |
|
|
5,00,000 |
|
|
(Payment made to Ayer Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Ayer Ltd. |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(4,000 equity shares of Rs 100 each issued at 25% premium) |
|
|
|
|
|
|
|
|
|
Working Note-
Page No 7.115:
Question 39:
Books of Jain Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Machinery A/c |
Dr. |
|
10,00,000 |
|
|
To Ayer Ltd. |
|
|
10,00,000 |
|
|
(Machinery purchased from Ayer Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Ayer Ltd. |
Dr. |
|
5,00,000 |
|
|
To Bank A/c |
|
|
5,00,000 |
|
|
(Payment made to Ayer Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Ayer Ltd. |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(4,000 equity shares of Rs 100 each issued at 25% premium) |
|
|
|
|
|
|
|
|
|
Working Note-
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount (Rs) |
Credit Amount (Rs) |
|
|
|
|
|
|
|
|
Machinery A/c |
Dr. |
|
17,00,000 |
|
|
To Mona Ltd. |
|
|
|
17,00,000 |
|
(Machinery purchased on credit from Sona Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Mona Ltd. |
Dr. |
|
3,40,000 |
|
|
To Bank A/c |
|
|
|
3,40,000 |
|
(20% amount paid through cheque) |
|
|
|
|
|
|
|
|
|
|
|
Mona Ltd. (17,00,000 – 3,40,000) |
Dr. |
|
13,60,000 |
|
|
To Equity Share Capital* |
|
|
|
10,88,000 |
|
To Securities Premium A/c* |
|
|
|
2,72,000 |
|
(Issued 10,880 shares of Rs 100 each to Mona Ltd. at 25% Premium) |
|
|
|
|
|
|
|
|
|
|
Working Notes: *
Page No 7.115:
Question 40:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount (Rs) |
Credit Amount (Rs) |
|
|
|
|
|
|
|
|
Machinery A/c |
Dr. |
|
17,00,000 |
|
|
To Mona Ltd. |
|
|
|
17,00,000 |
|
(Machinery purchased on credit from Sona Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
Mona Ltd. |
Dr. |
|
3,40,000 |
|
|
To Bank A/c |
|
|
|
3,40,000 |
|
(20% amount paid through cheque) |
|
|
|
|
|
|
|
|
|
|
|
Mona Ltd. (17,00,000 – 3,40,000) |
Dr. |
|
13,60,000 |
|
|
To Equity Share Capital* |
|
|
|
10,88,000 |
|
To Securities Premium A/c* |
|
|
|
2,72,000 |
|
(Issued 10,880 shares of Rs 100 each to Mona Ltd. at 25% Premium) |
|
|
|
|
|
|
|
|
|
|
Working Notes: *
Answer:
Issued to public payable as:
Rs |
30 |
on application |
Rs |
30 |
on allotment |
Rs |
40 |
first and final call |
Rs |
100 |
Called-up |
Books of Better Prospect Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Land A/c |
Dr. |
|
1,00,000 |
|
|
To Vendor |
|
|
1,00,000 |
|
|
(Land purchased from the vendor) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(1,000 equity of Rs 100 each issued to Vendor) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Application A/c |
|
|
1,20,000 |
|
|
(Share Application money received for 4,000 equity shares at Rs 30 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
|
1,20,000 |
|
|
|
To Equity Share Capital |
Dr. |
|
|
1,20,000 |
|
(Share Application money of 4,000 shares transferred to Equity Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
(Share allotment due on 4,000 equity shares of Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Share Allotment A/c |
|
|
1,20,000 |
|
|
(Share allotment received for 4,000 shares at Rs 30 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
1,60,000 |
|
|
To Equity Share Capital A/c |
|
|
1,60,000 |
|
|
(First and final call due on 4,000 equity shares at 40 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,52,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
8,000 |
|
|
To Share First and Final Call A/c |
|
|
1,60,000 |
|
|
(First and final call received from 3,800 shares and 200 share failed to pay it) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Better Prospect Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
4,92,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
4,92,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Fixed Assets |
|
|
i. Tangible Assets |
2 |
1,00,000 |
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
3,92,000 |
Total |
|
4,92,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
…… shares of Rs 100 each |
- |
|
|
Issued Share Capital |
|
|
|
5,000 shares of Rs 100 each |
5,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,000 shares of Rs 100 each (for consideration other than cash) |
1,00,000 |
|
|
4,000 shares of Rs 100 each |
4,00,000 |
|
|
Less: Calls-in-Arrears |
(8,000) |
4,92,000 |
|
|
|
|
2 |
Tangible Assets |
|
|
Land |
1,00,000 |
||
|
|||
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
3,92,000 |
|
|
|
|
Page No 7.115:
Question 41:
Issued to public payable as:
Rs |
30 |
on application |
Rs |
30 |
on allotment |
Rs |
40 |
first and final call |
Rs |
100 |
Called-up |
Books of Better Prospect Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Land A/c |
Dr. |
|
1,00,000 |
|
|
To Vendor |
|
|
1,00,000 |
|
|
(Land purchased from the vendor) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(1,000 equity of Rs 100 each issued to Vendor) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Application A/c |
|
|
1,20,000 |
|
|
(Share Application money received for 4,000 equity shares at Rs 30 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
|
1,20,000 |
|
|
|
To Equity Share Capital |
Dr. |
|
|
1,20,000 |
|
(Share Application money of 4,000 shares transferred to Equity Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
(Share allotment due on 4,000 equity shares of Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Share Allotment A/c |
|
|
1,20,000 |
|
|
(Share allotment received for 4,000 shares at Rs 30 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
1,60,000 |
|
|
To Equity Share Capital A/c |
|
|
1,60,000 |
|
|
(First and final call due on 4,000 equity shares at 40 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,52,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
8,000 |
|
|
To Share First and Final Call A/c |
|
|
1,60,000 |
|
|
(First and final call received from 3,800 shares and 200 share failed to pay it) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Better Prospect Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
4,92,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
4,92,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Fixed Assets |
|
|
i. Tangible Assets |
2 |
1,00,000 |
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
3,92,000 |
Total |
|
4,92,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
…… shares of Rs 100 each |
- |
|
|
Issued Share Capital |
|
|
|
5,000 shares of Rs 100 each |
5,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,000 shares of Rs 100 each (for consideration other than cash) |
1,00,000 |
|
|
4,000 shares of Rs 100 each |
4,00,000 |
|
|
Less: Calls-in-Arrears |
(8,000) |
4,92,000 |
|
|
|
|
2 |
Tangible Assets |
|
|
Land |
1,00,000 |
||
|
|||
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
3,92,000 |
|
|
|
|
Answer:
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Goodwill A/c |
Dr. |
|
4,00,000 |
|
|
Plant A/c |
Dr. |
|
7,00,000 |
|
|
Stock-in-Trade A/c |
Dr. |
|
9,00,000 |
|
|
Land and Building |
Dr. |
|
12,00,000 |
|
|
To Sundry Creditors A/c |
|
|
2,00,000 |
|
|
To Sharma & Co |
|
|
30,00,000 |
|
|
(Asset purchased and liabilities accepted from Sharma & Co) |
|
|
|
|
|
|
|
|
|
|
|
Sharma & Co |
Dr. |
|
30,00,000 |
|
|
To Share Capital A/c |
|
|
30,00,000 |
|
|
(30,000 shares of Rs 100 each issued to Sharma & Co.) |
|
|
|
|
|
|
|
|
|
Page No 7.115:
Question 42:
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Goodwill A/c |
Dr. |
|
4,00,000 |
|
|
Plant A/c |
Dr. |
|
7,00,000 |
|
|
Stock-in-Trade A/c |
Dr. |
|
9,00,000 |
|
|
Land and Building |
Dr. |
|
12,00,000 |
|
|
To Sundry Creditors A/c |
|
|
2,00,000 |
|
|
To Sharma & Co |
|
|
30,00,000 |
|
|
(Asset purchased and liabilities accepted from Sharma & Co) |
|
|
|
|
|
|
|
|
|
|
|
Sharma & Co |
Dr. |
|
30,00,000 |
|
|
To Share Capital A/c |
|
|
30,00,000 |
|
|
(30,000 shares of Rs 100 each issued to Sharma & Co.) |
|
|
|
|
|
|
|
|
|
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Plant and Machinery |
Dr. |
|
4,00,000 |
|
|
Building A/c |
Dr. |
|
4,00,000 |
|
|
Sundry Debtors A/c |
Dr. |
|
3,00,000 |
|
|
Stock A/c |
Dr. |
|
4,00,000 |
|
|
Cash A/c |
Dr. |
|
3,00,000 |
|
|
To Sundry Creditors A/c |
|
|
2,00,000 |
|
|
To M/s Rai Brothers |
|
|
15,00,000 |
|
|
To Capital Reserve A/c |
|
|
1,00,000 |
|
|
(Business of M/s Rai Brothers took over) |
|
|
|
|
|
|
|
|
|
|
|
M/s Rai Brothers |
Dr. |
|
12,00,000 |
|
|
To Share Capital A/c |
|
|
12,00,000 |
|
|
(Shares issued to M/s Rai Brothers) |
|
|
|
|
|
|
|
|
|
|
|
M/S Rai Brothers |
Dr. |
|
3,00,000 |
|
|
To Bank A/c |
|
|
3,00,000 |
|
|
(Payment made to M/s Rai Brothers through cheque) |
|
|
|
|
|
|
|
|
|
Page No 7.116:
Question 43:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Plant and Machinery |
Dr. |
|
4,00,000 |
|
|
Building A/c |
Dr. |
|
4,00,000 |
|
|
Sundry Debtors A/c |
Dr. |
|
3,00,000 |
|
|
Stock A/c |
Dr. |
|
4,00,000 |
|
|
Cash A/c |
Dr. |
|
3,00,000 |
|
|
To Sundry Creditors A/c |
|
|
2,00,000 |
|
|
To M/s Rai Brothers |
|
|
15,00,000 |
|
|
To Capital Reserve A/c |
|
|
1,00,000 |
|
|
(Business of M/s Rai Brothers took over) |
|
|
|
|
|
|
|
|
|
|
|
M/s Rai Brothers |
Dr. |
|
12,00,000 |
|
|
To Share Capital A/c |
|
|
12,00,000 |
|
|
(Shares issued to M/s Rai Brothers) |
|
|
|
|
|
|
|
|
|
|
|
M/S Rai Brothers |
Dr. |
|
3,00,000 |
|
|
To Bank A/c |
|
|
3,00,000 |
|
|
(Payment made to M/s Rai Brothers through cheque) |
|
|
|
|
|
|
|
|
|
Answer:
Books of Ghosh Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2012 |
|
|
|
|
|
Jan. 01 |
Share Second and Final Call A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(Share second and final call due on 50,000 shares at Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
Jan. 15 |
Bank A/c |
Dr. |
|
99,800 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
200 |
|
|
To Share Second and Final Call A/c |
|
|
1,00,000 |
|
|
(Share second and final call received from 49,900 shares and 100 shares failed to pay the it) |
|
|
|
|
|
|
|
|
|
Page No 7.116:
Question 44:
Books of Ghosh Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2012 |
|
|
|
|
|
Jan. 01 |
Share Second and Final Call A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(Share second and final call due on 50,000 shares at Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
Jan. 15 |
Bank A/c |
Dr. |
|
99,800 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
200 |
|
|
To Share Second and Final Call A/c |
|
|
1,00,000 |
|
|
(Share second and final call received from 49,900 shares and 100 shares failed to pay the it) |
|
|
|
|
|
|
|
|
|
Answer:
Amount Payable on:
Application |
Rs |
2 |
|
Allotment |
Rs |
5 |
(3+2) |
First Call |
Rs |
2 |
|
Called-up |
Rs |
9 |
(7+2) |
Books of A Ltd. Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
40,000 |
|
|
|
To Share Application A/c |
|
|
40,000 |
||
|
(Share application money received for 20,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Share application of 20,000 shares at Rs 2 per share transferred to Share Capital Account) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
|
To Share Capital A/c |
|
|
60,000 |
||
|
To Securities Premium A/c |
|
|
40,000 |
||
|
(Share allotment due on 20,000 shares at Rs 5 per share including Rs 2 premium) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
|
To Share Allotment A/c |
|
|
1,00,000 |
||
|
(Share allotment received on 20,000 shares at Rs 5 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Share first call due on 20,000 shares at Rs 2 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
38,900 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,000 |
|
|
|
To Share First Call A/c |
|
|
40,000 |
||
|
To Calls-in-Advance A/c |
|
|
900 |
||
|
(Share first call received on 39,000 shares at Rs 2 each, 300 shares paid calls-in-advance at Rs 3 per share and 1,000 shares failed to pay to first call money) |
|
|
|
||
|
|
|
|
|
||
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,38,000 |
b. Reserves and Surplus |
2 |
40,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
a. Other Current Liabilities |
3 |
900 |
Total |
|
1,78,900 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
4 |
1,78,900 |
Total |
|
1,78,900 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
50,000 shares of Rs 10 each |
5,00,000 |
|
|
Issued Share Capital |
|
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
20,000 shares of Rs 10 each, Rs 7 Called-up and Paid-up |
1,40,000 |
|
|
Less: Calls-in-Arrears |
(2,000) |
1,38,000 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
40,000 |
||
|
|||
3 |
Other Current Liabilities |
|
|
Calls-in-Advance |
900 |
||
|
|||
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
1,78,900 |
|
|
|
|
Page No 7.116:
Question 45:
Amount Payable on:
Application |
Rs |
2 |
|
Allotment |
Rs |
5 |
(3+2) |
First Call |
Rs |
2 |
|
Called-up |
Rs |
9 |
(7+2) |
Books of A Ltd. Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
40,000 |
|
|
|
To Share Application A/c |
|
|
40,000 |
||
|
(Share application money received for 20,000 shares at Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Share application of 20,000 shares at Rs 2 per share transferred to Share Capital Account) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
|
To Share Capital A/c |
|
|
60,000 |
||
|
To Securities Premium A/c |
|
|
40,000 |
||
|
(Share allotment due on 20,000 shares at Rs 5 per share including Rs 2 premium) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
|
To Share Allotment A/c |
|
|
1,00,000 |
||
|
(Share allotment received on 20,000 shares at Rs 5 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Share first call due on 20,000 shares at Rs 2 per shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
38,900 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,000 |
|
|
|
To Share First Call A/c |
|
|
40,000 |
||
|
To Calls-in-Advance A/c |
|
|
900 |
||
|
(Share first call received on 39,000 shares at Rs 2 each, 300 shares paid calls-in-advance at Rs 3 per share and 1,000 shares failed to pay to first call money) |
|
|
|
||
|
|
|
|
|
||
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,38,000 |
b. Reserves and Surplus |
2 |
40,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
a. Other Current Liabilities |
3 |
900 |
Total |
|
1,78,900 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
4 |
1,78,900 |
Total |
|
1,78,900 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
50,000 shares of Rs 10 each |
5,00,000 |
|
|
Issued Share Capital |
|
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
20,000 shares of Rs 10 each, Rs 7 Called-up and Paid-up |
1,40,000 |
|
|
Less: Calls-in-Arrears |
(2,000) |
1,38,000 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
40,000 |
||
|
|||
3 |
Other Current Liabilities |
|
|
Calls-in-Advance |
900 |
||
|
|||
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
1,78,900 |
|
|
|
|
Answer:
Issued Capital 5,000 Shares of Rs 10 each Rs 5 called up
Books of XYZ Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
16,000 |
|
|
To Share Application A/c |
|
|
16,000 |
|
|
(Share application money received for 8,000 shares at Rs2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
16,000 |
|
|
To Share Capital A/c |
|
|
16,000 |
|
|
(Application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Allotment due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,750 |
|
|
Call-in-Arrears A/c |
Dr. |
|
250 |
|
|
To Share Allotment A/c |
|
|
8,000 |
|
|
(Allotment money received on 7,750 shares and 250 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(First call due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,250 |
|
|
Calls in Arrears A/c |
Dr. |
|
750 |
|
|
To Share First Call A/c |
|
|
8,000 |
|
|
(Share first call money received on 7,250 shares and 750 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Second Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share second call due on 8,000 shares at Rs l each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Call-in-Arrears A/c |
Dr. |
|
2,000 |
|
|
To Share Second Call A/c |
|
|
8,000 |
|
|
(Share second call money received on 6,000 shares and 2000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
XYZ Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
37,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
37,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
37,000 |
Total |
|
37,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
8,000 shares of Rs 10 each |
80,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
8,000 shares of Rs 10 each, Rs 5 Called-up and Paid-up |
40,000 |
|
|
Less: Calls-in-Arrears |
(3,000) |
37,000 |
|
|||
2 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
37,000 |
|
|
|
|
Page No 7.116:
Question 46:
Issued Capital 5,000 Shares of Rs 10 each Rs 5 called up
Books of XYZ Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
16,000 |
|
|
To Share Application A/c |
|
|
16,000 |
|
|
(Share application money received for 8,000 shares at Rs2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
16,000 |
|
|
To Share Capital A/c |
|
|
16,000 |
|
|
(Application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Allotment due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,750 |
|
|
Call-in-Arrears A/c |
Dr. |
|
250 |
|
|
To Share Allotment A/c |
|
|
8,000 |
|
|
(Allotment money received on 7,750 shares and 250 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(First call due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,250 |
|
|
Calls in Arrears A/c |
Dr. |
|
750 |
|
|
To Share First Call A/c |
|
|
8,000 |
|
|
(Share first call money received on 7,250 shares and 750 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Second Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share second call due on 8,000 shares at Rs l each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Call-in-Arrears A/c |
Dr. |
|
2,000 |
|
|
To Share Second Call A/c |
|
|
8,000 |
|
|
(Share second call money received on 6,000 shares and 2000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
XYZ Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
37,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
37,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
37,000 |
Total |
|
37,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
8,000 shares of Rs 10 each |
80,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
8,000 shares of Rs 10 each, Rs 5 Called-up and Paid-up |
40,000 |
|
|
Less: Calls-in-Arrears |
(3,000) |
37,000 |
|
|||
2 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
37,000 |
|
|
|
|
Answer:
Issued capital 20,000 equity shares of Rs 10 each at a discount of Re 1
Applied 35,000 shares
Application |
Rs |
3 |
|
Allotment |
Rs |
3 |
(4–1) |
First and Final Call |
Rs |
3 |
|
|
|
9 |
(10–1) |
|
|
|
|
|
|
|
Applied Shares |
Allotted Shares |
Money received on Application at Rs 3 each |
Application money transferred to Share Capital at Rs 3 each |
Excess Money |
Allotment due at Rs 3 each |
Excess money application adjusted on allotment |
5,000 |
5,000 |
15,000 |
15,000 |
– |
15,000 |
– |
30,000 |
15,000 |
90,000 |
45,000 |
45,000 |
45,000 |
45,000 |
|
|
|
|
|
|
|
35,000 |
20,000 |
1,05,000 |
60,000 |
|
60,000 |
45,000 |
|
Books of A Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,05,000 |
|
|
To Share Application A/c |
|
|
1,05,000 |
|
|
(Share application money received for 35,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,05,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Share Allotment A/c |
|
|
45,000 |
|
|
(Share application money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
60,000 |
|
|
Discount on Issue of Share A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
(Allotment due on 20,000 shares at Rs 3 each after allowing discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,000 |
|
|
To Share Allotment A/c |
|
|
15,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
(Share first and final call due on 20,000 shares at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
57,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
3,000 |
|
|
To Share First and Final Call A/c |
|
|
60,000 |
|
|
(Share first and final call received on 19,000 shares and 1,000 shares did not pay it) |
|
|
|
|
|
|
|
|
|
Page No 7.116:
Question 47:
Issued capital 20,000 equity shares of Rs 10 each at a discount of Re 1
Applied 35,000 shares
Application |
Rs |
3 |
|
Allotment |
Rs |
3 |
(4–1) |
First and Final Call |
Rs |
3 |
|
|
|
9 |
(10–1) |
|
|
|
|
|
|
|
Applied Shares |
Allotted Shares |
Money received on Application at Rs 3 each |
Application money transferred to Share Capital at Rs 3 each |
Excess Money |
Allotment due at Rs 3 each |
Excess money application adjusted on allotment |
5,000 |
5,000 |
15,000 |
15,000 |
– |
15,000 |
– |
30,000 |
15,000 |
90,000 |
45,000 |
45,000 |
45,000 |
45,000 |
|
|
|
|
|
|
|
35,000 |
20,000 |
1,05,000 |
60,000 |
|
60,000 |
45,000 |
|
Books of A Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,05,000 |
|
|
To Share Application A/c |
|
|
1,05,000 |
|
|
(Share application money received for 35,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,05,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Share Allotment A/c |
|
|
45,000 |
|
|
(Share application money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
60,000 |
|
|
Discount on Issue of Share A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
(Allotment due on 20,000 shares at Rs 3 each after allowing discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,000 |
|
|
To Share Allotment A/c |
|
|
15,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
(Share first and final call due on 20,000 shares at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
57,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
3,000 |
|
|
To Share First and Final Call A/c |
|
|
60,000 |
|
|
(Share first and final call received on 19,000 shares and 1,000 shares did not pay it) |
|
|
|
|
|
|
|
|
|
Answer:
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Bank A/c |
Dr. |
|
3,00,000 |
|
|
|
To Share Application A/c |
|
|
|
3,00,000 |
|
|
(Application money on 1,50,000 shares received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
3,00,000 |
|
|
|
To Share Capital A/c |
|
|
|
1,50,000 |
|
|
To Share Allotment A/c (WN1) |
|
|
|
1,45,000 |
|
|
To Bank A/c (WN1) |
|
|
|
5,000 |
|
|
(Share Application money on 75,000 shares transferred to share capital account and excess was utilised on allotment and balance excess money refunded) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,25,000 |
|
|
|
Discount on Issue of Shares A/c |
|
|
75,000 |
|
|
|
To Share Capital A/c |
|
|
|
3,00,000 |
|
|
(Allotment money due on allotment) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (2,25,000 – 1,45,000 – 3,000 + 12,000) |
Dr. |
|
89,000 |
|
|
|
To Share Allotment A/c (2,25,000 – 1,45,000 – 3,000) |
|
|
|
77,000 |
|
|
To Calls-in-Advance A/c |
|
|
|
12,000 |
|
|
(Allotment money received along with advance call money on 3,000 shares and Rs 1,45,000 excess money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Call A/c |
Dr. |
|
3,00,000 |
|
|
|
To Share Capital A/c |
|
|
|
3,00,000 |
|
|
(Share Call money due) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (3,00,000 – 8,000 – 12,000) |
Dr. |
|
2,80,000 |
|
|
|
Calls-in-Advance A/c |
Dr. |
|
12,000 |
|
|
|
To Share Call A/c |
|
|
|
2,92,000 |
|
|
(Share call money received and Calls-in-Advance money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Working Notes:
WN 1
Computation Table |
|||||||
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
Category |
Shares Applied |
Shares Allotted |
Money Received on application at Rs 2 each |
Application Money transferred to Share Capital at Rs 2 each |
Excess money Received on application |
Excess Amount on application utilised on Allotment at Rs 3 each |
Excess Amount on application to be returned |
a |
15,000 |
5,000 |
30,000 |
10,000 |
20,000 |
15,000 |
5,000 |
b |
70,000 |
40,000 |
1,40,000 |
80,000 |
60,000 |
60,000 |
|
c |
65,000 |
30,000 |
1,30,000 |
60,000 |
70,000 |
70,000 |
|
Total |
1,50,000 |
75,000 |
3,00,000 |
1,50,000 |
1,50,000 |
1,45,000 |
5,0000 (Refunded) |
|
|
|
|
|
|
|
|
WN 2Calculation of Unpaid Amount on Allotment by Hari
Number of shares applied by Hari = 3,500 shares
Amount received on application (3,500 shares × Rs 2) |
7,000 |
Less: Utilised on application (2,000 shares × Rs 2) |
(4,000) |
Excess amount received on application |
3,000 |
|
|
Amount due on allotment (2,000 shares × Rs 3) |
6,000 |
Less: Excess amount received on application |
3,000 |
Amount unpaid on Allotment by Hari |
3,000 |
|
|
Page No 7.116:
Question 48:
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Bank A/c |
Dr. |
|
3,00,000 |
|
|
|
To Share Application A/c |
|
|
|
3,00,000 |
|
|
(Application money on 1,50,000 shares received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
3,00,000 |
|
|
|
To Share Capital A/c |
|
|
|
1,50,000 |
|
|
To Share Allotment A/c (WN1) |
|
|
|
1,45,000 |
|
|
To Bank A/c (WN1) |
|
|
|
5,000 |
|
|
(Share Application money on 75,000 shares transferred to share capital account and excess was utilised on allotment and balance excess money refunded) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,25,000 |
|
|
|
Discount on Issue of Shares A/c |
|
|
75,000 |
|
|
|
To Share Capital A/c |
|
|
|
3,00,000 |
|
|
(Allotment money due on allotment) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (2,25,000 – 1,45,000 – 3,000 + 12,000) |
Dr. |
|
89,000 |
|
|
|
To Share Allotment A/c (2,25,000 – 1,45,000 – 3,000) |
|
|
|
77,000 |
|
|
To Calls-in-Advance A/c |
|
|
|
12,000 |
|
|
(Allotment money received along with advance call money on 3,000 shares and Rs 1,45,000 excess money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Call A/c |
Dr. |
|
3,00,000 |
|
|
|
To Share Capital A/c |
|
|
|
3,00,000 |
|
|
(Share Call money due) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (3,00,000 – 8,000 – 12,000) |
Dr. |
|
2,80,000 |
|
|
|
Calls-in-Advance A/c |
Dr. |
|
12,000 |
|
|
|
To Share Call A/c |
|
|
|
2,92,000 |
|
|
(Share call money received and Calls-in-Advance money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Working Notes:
WN 1
Computation Table |
|||||||
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
Category |
Shares Applied |
Shares Allotted |
Money Received on application at Rs 2 each |
Application Money transferred to Share Capital at Rs 2 each |
Excess money Received on application |
Excess Amount on application utilised on Allotment at Rs 3 each |
Excess Amount on application to be returned |
a |
15,000 |
5,000 |
30,000 |
10,000 |
20,000 |
15,000 |
5,000 |
b |
70,000 |
40,000 |
1,40,000 |
80,000 |
60,000 |
60,000 |
|
c |
65,000 |
30,000 |
1,30,000 |
60,000 |
70,000 |
70,000 |
|
Total |
1,50,000 |
75,000 |
3,00,000 |
1,50,000 |
1,50,000 |
1,45,000 |
5,0000 (Refunded) |
|
|
|
|
|
|
|
|
WN 2Calculation of Unpaid Amount on Allotment by Hari
Number of shares applied by Hari = 3,500 shares
Amount received on application (3,500 shares × Rs 2) |
7,000 |
Less: Utilised on application (2,000 shares × Rs 2) |
(4,000) |
Excess amount received on application |
3,000 |
|
|
Amount due on allotment (2,000 shares × Rs 3) |
6,000 |
Less: Excess amount received on application |
3,000 |
Amount unpaid on Allotment by Hari |
3,000 |
|
|
Answer:
Books of Bharat Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2006 |
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
(Shares first call due on 1,00,000 shares at Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
Mar 01 |
Bank A/c |
Dr. |
|
2,02,400 |
|
|
To Equity Share First Call A/c |
|
|
2,00,000 |
|
|
To Call-In-Advance A/c |
|
|
2,400 |
|
|
(Share first call received with call-in-advance of 800 shares at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
Page No 7.117:
Question 49:
Books of Bharat Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2006 |
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
(Shares first call due on 1,00,000 shares at Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
Mar 01 |
Bank A/c |
Dr. |
|
2,02,400 |
|
|
To Equity Share First Call A/c |
|
|
2,00,000 |
|
|
To Call-In-Advance A/c |
|
|
2,400 |
|
|
(Share first call received with call-in-advance of 800 shares at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
Answer:
Application |
Rs |
2 |
Allotment |
Rs |
3 |
First Call |
Rs |
3 |
Final Call |
Rs |
2 |
|
|
10 |
Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
Case I |
Share Capital A/c (100×5) |
Dr. |
|
500 |
|
|
|
To Share Forfeiture A/c |
|
|
200 |
||
|
To Share Allotment A/c |
|
|
300 |
||
|
(100 shares of Rs 10 each, Rs 5 called-up, forfeited for the non-payment of allotment) |
|
|
|
||
|
|
|
|
|
||
Case II |
Share Capital A/c (100 × 8) |
Dr. |
|
800 |
|
|
|
To Share Forfeiture A/c |
|
|
200 |
||
|
To Share Allotment A/c |
|
|
300 |
||
To Share First Call A/c | 300 | |||||
|
(100 shares of Rs 10 each, Rs 8 called-up forfeited for non-payment allotment and first-call) |
|
|
|
||
|
|
|
|
|
||
Case III |
Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c |
|
|
500 |
||
|
To Share First Call A/c |
|
|
300 |
||
To Share Final Call A/c | 200 | |||||
|
(100 shares of Rs 10 each forfeited for the non-payment Rs 5 each) |
|
|
|
||
|
|
|
|
|
Page No 7.117:
Question 50:
Application |
Rs |
2 |
Allotment |
Rs |
3 |
First Call |
Rs |
3 |
Final Call |
Rs |
2 |
|
|
10 |
Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
Case I |
Share Capital A/c (100×5) |
Dr. |
|
500 |
|
|
|
To Share Forfeiture A/c |
|
|
200 |
||
|
To Share Allotment A/c |
|
|
300 |
||
|
(100 shares of Rs 10 each, Rs 5 called-up, forfeited for the non-payment of allotment) |
|
|
|
||
|
|
|
|
|
||
Case II |
Share Capital A/c (100 × 8) |
Dr. |
|
800 |
|
|
|
To Share Forfeiture A/c |
|
|
200 |
||
|
To Share Allotment A/c |
|
|
300 |
||
To Share First Call A/c | 300 | |||||
|
(100 shares of Rs 10 each, Rs 8 called-up forfeited for non-payment allotment and first-call) |
|
|
|
||
|
|
|
|
|
||
Case III |
Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c |
|
|
500 |
||
|
To Share First Call A/c |
|
|
300 |
||
To Share Final Call A/c | 200 | |||||
|
(100 shares of Rs 10 each forfeited for the non-payment Rs 5 each) |
|
|
|
||
|
|
|
|
|
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Share Application A/c |
|
|
30,000 |
|
|
(Share application money received for 10,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
30,000 |
|
|
To Share Capital A/c |
|
|
30,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
30,000 |
|
|
To Share Capital A/c |
|
|
30,000 |
|
|
(Allotment due on 10,000 shares at Rs 3 per shares) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(First and final call due on 10,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
39,600 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
400 |
|
|
To Share First and Final Call |
|
|
40,000 |
|
|
(First and final call of Rs 4 per share received on 9,900 shares, and 100 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
400 |
|
|
(100 shares of Rs 10 each forfeited for the non-payment of first and final call Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
500 |
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each re-issued for the sum of Rs 500) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
100 |
|
|
To Capital Reserve A/c |
|
|
100 |
|
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Note
Page No 7.117:
Question 51:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Share Application A/c |
|
|
30,000 |
|
|
(Share application money received for 10,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
30,000 |
|
|
To Share Capital A/c |
|
|
30,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
30,000 |
|
|
To Share Capital A/c |
|
|
30,000 |
|
|
(Allotment due on 10,000 shares at Rs 3 per shares) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(First and final call due on 10,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
39,600 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
400 |
|
|
To Share First and Final Call |
|
|
40,000 |
|
|
(First and final call of Rs 4 per share received on 9,900 shares, and 100 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
400 |
|
|
(100 shares of Rs 10 each forfeited for the non-payment of first and final call Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
500 |
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each re-issued for the sum of Rs 500) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
100 |
|
|
To Capital Reserve A/c |
|
|
100 |
|
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Note
Answer:
Application |
25 |
Balancing Figure |
Allotment |
30 |
|
First Call |
20 |
|
Final Call |
25 |
Un-called |
|
100 |
|
Called-up Rs 75 per share
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Capital A/c (900×75) |
Dr. |
|
67,500 |
|
|
To Share Forfeiture A/c |
|
|
22,500 |
|
|
To Calls-in-Arrears A/c |
|
|
45,000 |
|
|
(900 shares of Rs 100 each Rs 75 called-up, forfeited for the non-payment sum of allotment Rs 30 and first call Rs 20 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
81,000 |
|
|
To Share Capital A/c |
|
|
67,500 |
|
|
To Securities Premium A/c |
|
|
13,500 |
|
|
(900 shares of Rs 100 each re-issued as Rs 75 paid-up for Rs 90 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
22,500 |
|
|
To Capital Reserve A/c |
|
|
22,500 |
|
|
(Balance of Share Forfeiture Account after re-issue, transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Notes-
Page No 7.117:
Question 52:
Application |
25 |
Balancing Figure |
Allotment |
30 |
|
First Call |
20 |
|
Final Call |
25 |
Un-called |
|
100 |
|
Called-up Rs 75 per share
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Capital A/c (900×75) |
Dr. |
|
67,500 |
|
|
To Share Forfeiture A/c |
|
|
22,500 |
|
|
To Calls-in-Arrears A/c |
|
|
45,000 |
|
|
(900 shares of Rs 100 each Rs 75 called-up, forfeited for the non-payment sum of allotment Rs 30 and first call Rs 20 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
81,000 |
|
|
To Share Capital A/c |
|
|
67,500 |
|
|
To Securities Premium A/c |
|
|
13,500 |
|
|
(900 shares of Rs 100 each re-issued as Rs 75 paid-up for Rs 90 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
22,500 |
|
|
To Capital Reserve A/c |
|
|
22,500 |
|
|
(Balance of Share Forfeiture Account after re-issue, transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Notes-
Answer:
Books of M Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2012 |
|
|
|
|
|
May 01 |
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Share Forfeiture A/c |
|
|
15,000 |
|
|
To Call-in-Arrears A/c |
|
|
5,000 |
|
|
(2,000 shares of Rs 10 each forfeited for non-payment of final call Rs 2.5 per share) |
|
|
|
|
|
|
|
|
|
|
June 10 |
Bank A/c |
Dr. |
|
10,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
7,200 |
|
|
To Share Capital A/c |
|
|
18,000 |
|
|
(1,800 shares of Rs 10 each re-issued at Rs 6 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,300 |
|
|
To Capital Reserve A/c |
|
|
6,300 |
|
|
(Balance in Shares Forfeiture Account of 1,800 re-issue, transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Notes:
Share Forfeiture |
7.5 |
Cr. |
Share Forfeiture |
4 |
Dr. |
Balance in Share Forfeiture Account after re-issue |
3.5 |
Cr. per share |
Capital Reserve = No. of Shares reissued × Balance in Share Forfeiture Account after reissue (per share)
= 1,800 × Rs 3.5 (per share)
= Rs 6,300
Page No 7.117:
Question 53:
Books of M Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2012 |
|
|
|
|
|
May 01 |
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Share Forfeiture A/c |
|
|
15,000 |
|
|
To Call-in-Arrears A/c |
|
|
5,000 |
|
|
(2,000 shares of Rs 10 each forfeited for non-payment of final call Rs 2.5 per share) |
|
|
|
|
|
|
|
|
|
|
June 10 |
Bank A/c |
Dr. |
|
10,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
7,200 |
|
|
To Share Capital A/c |
|
|
18,000 |
|
|
(1,800 shares of Rs 10 each re-issued at Rs 6 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,300 |
|
|
To Capital Reserve A/c |
|
|
6,300 |
|
|
(Balance in Shares Forfeiture Account of 1,800 re-issue, transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Notes:
Share Forfeiture |
7.5 |
Cr. |
Share Forfeiture |
4 |
Dr. |
Balance in Share Forfeiture Account after re-issue |
3.5 |
Cr. per share |
Capital Reserve = No. of Shares reissued × Balance in Share Forfeiture Account after reissue (per share)
= 1,800 × Rs 3.5 (per share)
= Rs 6,300
Answer:
Book of Super Star Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Application and Allotment A/c |
|
|
5,00,000 |
|
|
(Share Application and Allotment money received for 10,000 shares at Rs 50 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application and Allotment A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(Share Application and Allotment money transferred to Equity Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(Share First Call due on 10,000 shares of Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share First-Call A/c |
|
|
2,50,000 |
|
|
(First Call money received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(Equity Share Final Call due on 10,000 shares of Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,40,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Final Call A/c |
|
|
2,50,000 |
|
|
(Share Final Call of Rs 25 per share received on 9,600 shares and holders of 400 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
40,000 |
|
|
To Share Forfeiture A/c |
|
|
30,000 |
|
|
To Calls-In-Arrears A/c |
|
|
10,000 |
|
|
(400 shares of Rs 100 each forfeited for the non-payment final call Rs 25 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
10,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(200 shares of Rs 100 each re-issued at Rs 50 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
5,000 |
|
|
To Capital Reserve A/c |
|
|
5,000 |
|
|
(Balance in Share Forfeiture of 200 shares of after re-issue, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture |
Rs |
75 |
Cr. |
Share Forfeiture |
Rs |
50 |
Dr. |
Balance in Share Forfeiture Account for re-issued shares |
Rs |
25 |
Cr. per share |
Capital Reserve = Balance in Share Forfeiture Account for re-issued shares × Number of Share reissued
= Rs 25 × 200 = Rs 5,000
Page No 7.117:
Question 54:
Book of Super Star Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Application and Allotment A/c |
|
|
5,00,000 |
|
|
(Share Application and Allotment money received for 10,000 shares at Rs 50 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application and Allotment A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(Share Application and Allotment money transferred to Equity Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(Share First Call due on 10,000 shares of Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share First-Call A/c |
|
|
2,50,000 |
|
|
(First Call money received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(Equity Share Final Call due on 10,000 shares of Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,40,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Final Call A/c |
|
|
2,50,000 |
|
|
(Share Final Call of Rs 25 per share received on 9,600 shares and holders of 400 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
40,000 |
|
|
To Share Forfeiture A/c |
|
|
30,000 |
|
|
To Calls-In-Arrears A/c |
|
|
10,000 |
|
|
(400 shares of Rs 100 each forfeited for the non-payment final call Rs 25 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
10,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(200 shares of Rs 100 each re-issued at Rs 50 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
5,000 |
|
|
To Capital Reserve A/c |
|
|
5,000 |
|
|
(Balance in Share Forfeiture of 200 shares of after re-issue, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture |
Rs |
75 |
Cr. |
Share Forfeiture |
Rs |
50 |
Dr. |
Balance in Share Forfeiture Account for re-issued shares |
Rs |
25 |
Cr. per share |
Capital Reserve = Balance in Share Forfeiture Account for re-issued shares × Number of Share reissued
= Rs 25 × 200 = Rs 5,000
Answer:
Issued and applied capital 20,000 shares of Rs 100 each
Payable as:
Application |
Rs |
25 |
|
Allotment |
Rs |
25 |
|
First Call |
Rs |
25 |
|
Called-up |
Rs |
75 |
per share |
Final Call |
Rs |
25 |
|
|
Rs |
100 |
per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Share Application A/c |
|
|
5,00,000 |
|
|
(Share application money received for 20,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(Application money transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(Share Allotment due on 20,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Share Allotment A/c |
|
|
5,00,000 |
|
|
(Allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(Share First Call due on 20,000 shares of Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,90,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
10,000 |
|
|
To Share First Call A/c |
|
|
5,00,000 |
|
|
(Share First Call Rs 25 per share received on 19,600 shares and a holder of 400 shares did not pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
30,000 |
|
|
To Share Forfeiture A/c |
|
|
20,000 |
|
|
To Calls-in-Arrears A/c |
|
|
10,000 |
|
|
(400 shares of Rs 100 each, Rs 75 called-up, forfeited for the non-payment of Share First Call Rs 25 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Share Capital A/c |
|
|
30,000 |
|
|
(400 shares of Rs 100 each, Rs 75 paid-up, reissued for the sum of Rs 28,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
18,000 |
|
|
To Capital Reserve A/c |
|
|
18,000 |
|
|
(Balance in share forfeiture after re-issue, transferred to capital reserve) |
|
|
|
|
|
|
|
|
|
Share Capital Account |
|||||
Dr. |
|
Cr. |
|||
Particulars |
Amount Rs |
Particulars |
Amount Rs |
||
|
|
|
|
||
Share Forfeiture |
20,000 |
Share Application |
5,00,000 |
||
Calls-in-Arrears |
10,000 |
Share Allotment |
5,00,000 |
||
|
|
Share First Call |
5,00,000 |
||
|
|
Bank |
28,000 |
||
Balance c/d |
|
Share Forfeiture |
2,000 |
||
|
|
|
|
||
|
15,30,000 |
|
15,30,000 |
||
|
|
|
|
Working Note-
Share Forfeiture Credit |
20,000 |
Less: Share Forfeiture Debit |
2,000 |
Balance in Share Forfeiture Account after re-issue |
18,000 |
Capital Reserve = Balance in Share Forfeiture Account after re-issue
= Rs 18,000
Page No 7.117:
Question 55:
Issued and applied capital 20,000 shares of Rs 100 each
Payable as:
Application |
Rs |
25 |
|
Allotment |
Rs |
25 |
|
First Call |
Rs |
25 |
|
Called-up |
Rs |
75 |
per share |
Final Call |
Rs |
25 |
|
|
Rs |
100 |
per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Share Application A/c |
|
|
5,00,000 |
|
|
(Share application money received for 20,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(Application money transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(Share Allotment due on 20,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Share Allotment A/c |
|
|
5,00,000 |
|
|
(Allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
5,00,000 |
|
|
To Share Capital A/c |
|
|
5,00,000 |
|
|
(Share First Call due on 20,000 shares of Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,90,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
10,000 |
|
|
To Share First Call A/c |
|
|
5,00,000 |
|
|
(Share First Call Rs 25 per share received on 19,600 shares and a holder of 400 shares did not pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
30,000 |
|
|
To Share Forfeiture A/c |
|
|
20,000 |
|
|
To Calls-in-Arrears A/c |
|
|
10,000 |
|
|
(400 shares of Rs 100 each, Rs 75 called-up, forfeited for the non-payment of Share First Call Rs 25 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Share Capital A/c |
|
|
30,000 |
|
|
(400 shares of Rs 100 each, Rs 75 paid-up, reissued for the sum of Rs 28,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
18,000 |
|
|
To Capital Reserve A/c |
|
|
18,000 |
|
|
(Balance in share forfeiture after re-issue, transferred to capital reserve) |
|
|
|
|
|
|
|
|
|
Share Capital Account |
|||||
Dr. |
|
Cr. |
|||
Particulars |
Amount Rs |
Particulars |
Amount Rs |
||
|
|
|
|
||
Share Forfeiture |
20,000 |
Share Application |
5,00,000 |
||
Calls-in-Arrears |
10,000 |
Share Allotment |
5,00,000 |
||
|
|
Share First Call |
5,00,000 |
||
|
|
Bank |
28,000 |
||
Balance c/d |
|
Share Forfeiture |
2,000 |
||
|
|
|
|
||
|
15,30,000 |
|
15,30,000 |
||
|
|
|
|
Working Note-
Share Forfeiture Credit |
20,000 |
Less: Share Forfeiture Debit |
2,000 |
Balance in Share Forfeiture Account after re-issue |
18,000 |
Capital Reserve = Balance in Share Forfeiture Account after re-issue
= Rs 18,000
Answer:
Books of Hindustan Manufacturing Limited |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(Share Final Call due on 1,00,000 shares at Rs 2.5 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,49,750 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
250 |
|
|
To Equity Share Final Call A/c |
|
|
2,50,000 |
|
|
(Share Final Call of Rs 2.5 per share received from 99,900 shares and 100 shares did not pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
500 |
|
|
To Calls-in-Arrears A/c |
|
|
500 |
|
|
(100 shares of Rs 10 each forfeited for the non-payment of two calls of Rs 2.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
800 |
|
|
Share Forfeiture A/c |
Dr. |
|
200 |
|
|
To Equity Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each reissued at Rs 8 per share, fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Capital Reserve A/c |
|
|
300 |
|
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Hindustan Manufacturing Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
10,00,000 |
b. Reserves and Surplus |
2 |
300 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
10,00,300 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
10,00,300 |
Total |
|
10,00,300 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
Issued Share Capital |
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
||
2 |
Reserves and Surplus |
|
|
Capital Reserve |
300 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
10,00,300 |
|
|
|
Working Notes:
Share Forfeiture Credit (100 shares × Rs 5 each) |
500 |
|
Less: Share Forfeiture Debit (100 share × Rs 2 each) |
200 |
Loss on re-issue |
Balance in Share Forfeiture Account after re-issue |
300 |
|
Capital Reserve = Balance in Share Forfeiture Account after re-issue = Rs 300
Page No 7.117:
Question 56:
Books of Hindustan Manufacturing Limited |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
(Share Final Call due on 1,00,000 shares at Rs 2.5 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,49,750 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
250 |
|
|
To Equity Share Final Call A/c |
|
|
2,50,000 |
|
|
(Share Final Call of Rs 2.5 per share received from 99,900 shares and 100 shares did not pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
500 |
|
|
To Calls-in-Arrears A/c |
|
|
500 |
|
|
(100 shares of Rs 10 each forfeited for the non-payment of two calls of Rs 2.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
800 |
|
|
Share Forfeiture A/c |
Dr. |
|
200 |
|
|
To Equity Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each reissued at Rs 8 per share, fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Capital Reserve A/c |
|
|
300 |
|
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Hindustan Manufacturing Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
10,00,000 |
b. Reserves and Surplus |
2 |
300 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
10,00,300 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
10,00,300 |
Total |
|
10,00,300 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
Issued Share Capital |
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
||
2 |
Reserves and Surplus |
|
|
Capital Reserve |
300 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
10,00,300 |
|
|
|
Working Notes:
Share Forfeiture Credit (100 shares × Rs 5 each) |
500 |
|
Less: Share Forfeiture Debit (100 share × Rs 2 each) |
200 |
Loss on re-issue |
Balance in Share Forfeiture Account after re-issue |
300 |
|
Capital Reserve = Balance in Share Forfeiture Account after re-issue = Rs 300
Answer:
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2014 |
|
|
|
|
|
May 01 |
Share Capital A/c (15 × 200) |
Dr. |
|
3,000 |
|
|
To Share Forfeiture A/c (10 × 200) |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c (5 × 200) |
|
|
1,000 |
|
|
(200 shares of Rs 20 each, Rs 15 called-up forfeited for the non-payment Rs 5 per share) |
|
|
|
|
|
|
|
|
|
|
May 11 |
Bank A/c (10 × 200) |
Dr. |
|
2,000 |
|
|
Share Forfeiture A/c (5 × 200) |
Dr. |
|
1,000 |
|
|
To Share Capital A/c (15 × 200) |
|
|
3,000 |
|
|
(200 shares of Rs 20 each re-issued at Rs 10 each, Rs 15 paid-up) |
|
|
|
|
|
|
|
|
|
|
May 11 |
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Capital Reserve A/c |
|
|
1,000 |
|
|
(Balance in share forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture Credit (at the time of forfeiture) |
2,000 |
Less: Share Forfeiture Debit (at the time of re-issue) |
1,000 |
Balance in Share Forfeiture Account after re-issue |
1,000 |
Capital Reserve = Balance in Share Forfeiture Account after re-issue = Rs 1,000
Page No 7.118:
Question 57:
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2014 |
|
|
|
|
|
May 01 |
Share Capital A/c (15 × 200) |
Dr. |
|
3,000 |
|
|
To Share Forfeiture A/c (10 × 200) |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c (5 × 200) |
|
|
1,000 |
|
|
(200 shares of Rs 20 each, Rs 15 called-up forfeited for the non-payment Rs 5 per share) |
|
|
|
|
|
|
|
|
|
|
May 11 |
Bank A/c (10 × 200) |
Dr. |
|
2,000 |
|
|
Share Forfeiture A/c (5 × 200) |
Dr. |
|
1,000 |
|
|
To Share Capital A/c (15 × 200) |
|
|
3,000 |
|
|
(200 shares of Rs 20 each re-issued at Rs 10 each, Rs 15 paid-up) |
|
|
|
|
|
|
|
|
|
|
May 11 |
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Capital Reserve A/c |
|
|
1,000 |
|
|
(Balance in share forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture Credit (at the time of forfeiture) |
2,000 |
Less: Share Forfeiture Debit (at the time of re-issue) |
1,000 |
Balance in Share Forfeiture Account after re-issue |
1,000 |
Capital Reserve = Balance in Share Forfeiture Account after re-issue = Rs 1,000
Answer:
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (100 × 8) |
Dr. |
|
800 |
|
|
Securities Premium A/c (100 × 2) |
Dr. |
|
200 |
|
|
To Share Forfeiture A/c (100 × 5) |
|
|
500 |
|
|
To Calls-in-Arrears A/c (100 × 5) |
|
|
500 |
|
|
(100 shares of Rs 10 each, Rs 8 called-up with premium Rs 2 per share, forfeited for the non-payment of Rs 5 each including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
490 |
|
|
Share Forfeiture A/c |
Dr. |
|
70 |
|
|
To Share Capital A/c |
|
|
560 |
|
|
(70 shares of Rs 10 each re-issued at Rs 7 per share, Rs 8 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
280 |
|
|
To Capital Reserve A/c |
|
|
280 |
|
|
(Balance of 70 shares re-issued shares in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture Credit |
5 |
per share |
Less: Share Forfeiture Debit |
1 |
per share |
Balance in Share Forfeiture of re-issued shares |
4 |
per share |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares × No. of shares re-issued
= 70 × 4
= Rs 280
Page No 7.118:
Question 58:
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (100 × 8) |
Dr. |
|
800 |
|
|
Securities Premium A/c (100 × 2) |
Dr. |
|
200 |
|
|
To Share Forfeiture A/c (100 × 5) |
|
|
500 |
|
|
To Calls-in-Arrears A/c (100 × 5) |
|
|
500 |
|
|
(100 shares of Rs 10 each, Rs 8 called-up with premium Rs 2 per share, forfeited for the non-payment of Rs 5 each including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
490 |
|
|
Share Forfeiture A/c |
Dr. |
|
70 |
|
|
To Share Capital A/c |
|
|
560 |
|
|
(70 shares of Rs 10 each re-issued at Rs 7 per share, Rs 8 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
280 |
|
|
To Capital Reserve A/c |
|
|
280 |
|
|
(Balance of 70 shares re-issued shares in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture Credit |
5 |
per share |
Less: Share Forfeiture Debit |
1 |
per share |
Balance in Share Forfeiture of re-issued shares |
4 |
per share |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares × No. of shares re-issued
= 70 × 4
= Rs 280
Answer:
Books of A Ltd. Company Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
600 |
|
|
To Share Forfeiture A/c |
|
|
400 |
|
|
To Calls-in-Arrears A/c |
|
|
200 |
|
|
(100 shares of Rs 10 each Rs 6 called up, forfeited for the non-payment of first call Rs 2 per shares) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
700 |
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of 10 each re-issued at Rs 7 per share, fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
100 |
|
|
To Capital Reserve A/c |
|
|
100 |
|
|
(Balance in Share Forfeiture of re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture Credit |
Rs |
400 |
Share Forfeiture Debit |
Rs |
300 |
Balance in Share Forfeiture of re-issued shares |
|
100 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares = Rs 100
Page No 7.118:
Question 59:
Books of A Ltd. Company Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
600 |
|
|
To Share Forfeiture A/c |
|
|
400 |
|
|
To Calls-in-Arrears A/c |
|
|
200 |
|
|
(100 shares of Rs 10 each Rs 6 called up, forfeited for the non-payment of first call Rs 2 per shares) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
700 |
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of 10 each re-issued at Rs 7 per share, fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
100 |
|
|
To Capital Reserve A/c |
|
|
100 |
|
|
(Balance in Share Forfeiture of re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture Credit |
Rs |
400 |
Share Forfeiture Debit |
Rs |
300 |
Balance in Share Forfeiture of re-issued shares |
|
100 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares = Rs 100
Answer:
Authorised capital 20,000 shares of Rs 100 each
Issued capital 10,000 shares
Applied 12,000 shares
|
Allotment made as: |
||
|
Applied |
|
Allotted |
I |
10,000 |
|
10,000 |
II |
2,000 |
|
NIL |
|
12,000 |
|
10,000 |
Book of Tata Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,40,000 |
|
|
To Share Application A/c |
|
|
2,40,000 |
|
|
(Share application money received for 12,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,40,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
To Bank A/c |
|
|
40,000 |
|
|
(Share application money of Rs 20 each for 10,000 shares transferred to Share Capital Account and money of 2,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
3,00,000 |
|
|
To Share Capital A/c |
|
|
3,00,000 |
|
|
(Allotment due on 10,000 shares at Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,00,000 |
|
|
To Share Allotment A/c |
|
|
3,00,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
2,50,000 |
|
|
To Share Capital A/c |
|
|
2,50,000 |
|
|
(First call due on 10,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,50,000 |
|
|
To Share First Call A/c |
|
|
2,50,000 |
|
|
(First call money received) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
2,50,000 |
|
|
To Share Capital A/c |
|
|
2,50,000 |
|
|
(Final call due on 10,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,43,750 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
6,250 |
|
|
To Share Final Call A/c |
|
|
2,50,000 |
|
|
(Final call of Rs 25 per share received from 9,750 shares and holders of 250 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
12,500 |
|
|
To Share Forfeiture A/c |
|
|
9,375 |
|
|
To Calls-in-Arrears A/c |
|
|
3,125 |
|
|
(125 shares of Rs 100 each forfeited for the non-payment of final call Rs 25 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
11,250 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,250 |
|
|
To Share Capital A/c |
|
|
12,500 |
|
|
(125 shares Rs 100 each re-issued at Rs 90 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
8,125 |
|
|
To Capital Reserve A/c |
|
|
8,125 |
|
|
(Balance in Share Forfeiture Account of 125 re-issued shares transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Tata Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
9,96,875 |
b. Reserves and Surplus |
2 |
8,125 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
10,05,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
10,05,000 |
Total |
|
10,05,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
20,000 shares of Rs 100 each |
20,00,000 |
|
|
Issued Share Capital |
|
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
|
Less: Calls-in-Arrears (125 shares × Rs 25) |
(3,125) |
9,96,875 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
8,125 |
|
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
10,05,000 |
|
|
|
|
Working Notes:
Share Forfeiture of 125 shares
Share Forfeiture Credit (at the time of forfeiture) |
75 |
per share |
Less: Share Forfeiture Debit (at the time of reissue) |
10 |
per share |
Balance in Share Forfeiture after re-issue shares |
65 |
per share |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares × No. of shares re-issued = 65 × 125 = Rs 8,125
Page No 7.118:
Question 60:
Authorised capital 20,000 shares of Rs 100 each
Issued capital 10,000 shares
Applied 12,000 shares
|
Allotment made as: |
||
|
Applied |
|
Allotted |
I |
10,000 |
|
10,000 |
II |
2,000 |
|
NIL |
|
12,000 |
|
10,000 |
Book of Tata Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,40,000 |
|
|
To Share Application A/c |
|
|
2,40,000 |
|
|
(Share application money received for 12,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,40,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
To Bank A/c |
|
|
40,000 |
|
|
(Share application money of Rs 20 each for 10,000 shares transferred to Share Capital Account and money of 2,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
3,00,000 |
|
|
To Share Capital A/c |
|
|
3,00,000 |
|
|
(Allotment due on 10,000 shares at Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,00,000 |
|
|
To Share Allotment A/c |
|
|
3,00,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
2,50,000 |
|
|
To Share Capital A/c |
|
|
2,50,000 |
|
|
(First call due on 10,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,50,000 |
|
|
To Share First Call A/c |
|
|
2,50,000 |
|
|
(First call money received) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
2,50,000 |
|
|
To Share Capital A/c |
|
|
2,50,000 |
|
|
(Final call due on 10,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,43,750 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
6,250 |
|
|
To Share Final Call A/c |
|
|
2,50,000 |
|
|
(Final call of Rs 25 per share received from 9,750 shares and holders of 250 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
12,500 |
|
|
To Share Forfeiture A/c |
|
|
9,375 |
|
|
To Calls-in-Arrears A/c |
|
|
3,125 |
|
|
(125 shares of Rs 100 each forfeited for the non-payment of final call Rs 25 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
11,250 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,250 |
|
|
To Share Capital A/c |
|
|
12,500 |
|
|
(125 shares Rs 100 each re-issued at Rs 90 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
8,125 |
|
|
To Capital Reserve A/c |
|
|
8,125 |
|
|
(Balance in Share Forfeiture Account of 125 re-issued shares transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Tata Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
9,96,875 |
b. Reserves and Surplus |
2 |
8,125 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
10,05,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
10,05,000 |
Total |
|
10,05,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
20,000 shares of Rs 100 each |
20,00,000 |
|
|
Issued Share Capital |
|
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
10,000 shares of Rs 100 each |
10,00,000 |
|
|
Less: Calls-in-Arrears (125 shares × Rs 25) |
(3,125) |
9,96,875 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
8,125 |
|
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
10,05,000 |
|
|
|
|
Working Notes:
Share Forfeiture of 125 shares
Share Forfeiture Credit (at the time of forfeiture) |
75 |
per share |
Less: Share Forfeiture Debit (at the time of reissue) |
10 |
per share |
Balance in Share Forfeiture after re-issue shares |
65 |
per share |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares × No. of shares re-issued = 65 × 125 = Rs 8,125
Answer:
Amount payable as:
Application |
Rs |
2 |
|
Allotment |
Rs |
2 |
|
First Call |
Rs |
3 |
|
Final Call |
Rs |
3 |
|
|
|
10 |
per share |
Book of S Ltd. Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
40,000 |
|
|
|
To Share Application A/c |
|
|
40,000 |
||
|
(Share application money received for 20,000 shares at Rs 2 each) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Application money transferred to Share Capital Account) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Share allotment due on 20,000 shares of Rs 2 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
39,500 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
500 |
|
|
|
To Share Allotment A/c |
|
|
40,000 |
||
|
(Share allotment of Rs 2 per share received on19,750 shares and holders 250 shares did not pay it) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
60,000 |
|
|
|
To Share Capital A/c |
|
|
60,000 |
||
|
(First call due 20,000 shares at Rs 3 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
59,250 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
750 |
|
|
|
To Share First Call A/c |
|
|
60,000 |
||
|
(First call of Rs 3 per share received on 19,750 shares and holders of 250 shares were default) |
|
|
|
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
1,750 |
|
|
|
To Share Forfeiture A/c |
|
|
500 |
||
|
To Calls-In-Arrears A/c |
|
|
1,250 |
||
|
(250 shares of Rs 10 each Rs 7 called-up, forfeited for the non-payment of Rs 5 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Final Call A/c |
Dr. |
|
59,250 |
|
|
|
To Share Capital |
|
|
59,250 |
||
|
(Final call due on 19,750 shares at Rs 3 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
59,250 |
|
|
|
To Share Final Call A/c |
|
|
59,250 |
||
|
(Final call money received) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,125 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
375 |
|
|
|
To Share Capital A/c |
|
|
2,500 |
||
|
(250 shares of Rs 10 each re-issued at Rs 8.5 fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
125 |
|
|
|
To Capital Reserve A/c |
|
|
125 |
||
|
(Balance in Share forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
||
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
S Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,00,000 |
b. Reserves and Surplus |
2 |
125 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,00,125 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,00,125 |
Total |
|
2,00,125 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
50,000 shares of Rs 10 each |
5,00,000 |
|
Issued Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
||
2 |
Reserves and Surplus |
|
|
Capital Reserve |
125 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
2,00,125 |
|
|
|
Working Notes:
Share Forfeiture Credit (at the time of forfeiture) |
500 |
Less: Share Forfeiture Debit (at the time of reissue) |
375 |
Balance in Share Forfeiture Account of re-issued shares |
125 |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares = Rs 125
Page No 7.118:
Question 61:
Amount payable as:
Application |
Rs |
2 |
|
Allotment |
Rs |
2 |
|
First Call |
Rs |
3 |
|
Final Call |
Rs |
3 |
|
|
|
10 |
per share |
Book of S Ltd. Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
40,000 |
|
|
|
To Share Application A/c |
|
|
40,000 |
||
|
(Share application money received for 20,000 shares at Rs 2 each) |
|
|
|
||
|
|
|
|
|
||
|
Share Application A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Application money transferred to Share Capital Account) |
|
|
|
||
|
|
|
|
|
||
|
Share Allotment A/c |
Dr. |
|
40,000 |
|
|
|
To Share Capital A/c |
|
|
40,000 |
||
|
(Share allotment due on 20,000 shares of Rs 2 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
39,500 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
500 |
|
|
|
To Share Allotment A/c |
|
|
40,000 |
||
|
(Share allotment of Rs 2 per share received on19,750 shares and holders 250 shares did not pay it) |
|
|
|
||
|
|
|
|
|
||
|
Share First Call A/c |
Dr. |
|
60,000 |
|
|
|
To Share Capital A/c |
|
|
60,000 |
||
|
(First call due 20,000 shares at Rs 3 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
59,250 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
750 |
|
|
|
To Share First Call A/c |
|
|
60,000 |
||
|
(First call of Rs 3 per share received on 19,750 shares and holders of 250 shares were default) |
|
|
|
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
1,750 |
|
|
|
To Share Forfeiture A/c |
|
|
500 |
||
|
To Calls-In-Arrears A/c |
|
|
1,250 |
||
|
(250 shares of Rs 10 each Rs 7 called-up, forfeited for the non-payment of Rs 5 per share) |
|
|
|
||
|
|
|
|
|
||
|
Share Final Call A/c |
Dr. |
|
59,250 |
|
|
|
To Share Capital |
|
|
59,250 |
||
|
(Final call due on 19,750 shares at Rs 3 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
59,250 |
|
|
|
To Share Final Call A/c |
|
|
59,250 |
||
|
(Final call money received) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,125 |
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
375 |
|
|
|
To Share Capital A/c |
|
|
2,500 |
||
|
(250 shares of Rs 10 each re-issued at Rs 8.5 fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
125 |
|
|
|
To Capital Reserve A/c |
|
|
125 |
||
|
(Balance in Share forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
||
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
S Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,00,000 |
b. Reserves and Surplus |
2 |
125 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,00,125 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,00,125 |
Total |
|
2,00,125 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
50,000 shares of Rs 10 each |
5,00,000 |
|
Issued Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
||
2 |
Reserves and Surplus |
|
|
Capital Reserve |
125 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
2,00,125 |
|
|
|
Working Notes:
Share Forfeiture Credit (at the time of forfeiture) |
500 |
Less: Share Forfeiture Debit (at the time of reissue) |
375 |
Balance in Share Forfeiture Account of re-issued shares |
125 |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares = Rs 125
Answer:
(i) |
Book of Devendra Limited |
|||||
Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
2010 |
|
|
|
|
||
Jan. 01 |
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c |
|
|
800 |
||
|
To Calls-in-Arrears A/c |
|
|
200 |
||
|
(100 shares of Rs 10 each forfeited for the non-payment of Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
Feb. 01 |
Bank A/c |
Dr. |
|
420 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
180 |
|
|
|
To Equity Share Capital A/c |
|
|
600 |
||
|
(60 shares of Rs 10 each re-issued at Rs 7 per share, fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
|
To Capital Reserve A/c |
|
|
300 |
||
|
(Balance in Share Forfeiture Account of 60 shares after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Note:
Forfeiture of re-issued shares
Share Forfeiture Credit |
Rs |
8 |
per share |
Share Forfeiture Debit |
Rs |
3 |
per share |
Balance in Share Forfeiture after re-issue |
|
5 |
per share |
General Reserve = Balance in Share Forfeiture after re-issue (per share) × No. of shares reissued
= Rs 5 × 60
= Rs 300
(ii) |
Book of Virender Limited |
|||||
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
1,200 |
|
|
|
To Share Forfeiture A/c |
|
|
400 |
||
|
To Calls-in-Arrears A/c |
|
|
800 |
||
|
(20 shares of Rs 100 each Rs 60 called-up forfeited for the non-payment of Rs 40 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
675 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
225 |
|
|
|
To Share Capital A/c |
|
|
900 |
||
|
(15 shares of Rs 100 each re-issued for Rs 45 per share as Rs 60 paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
75 |
|
|
|
To Capital Reserve A/c |
|
|
75 |
||
|
(Balance in Share Forfeiture of 15 re-issued shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Note:
Forfeiture of reissued shares |
|||
Share Forfeiture Credit (at the time of forfeiture ) |
Rs |
20 |
per share |
Share Forfeiture Debit (at the time of re-issue) |
Rs |
15 |
per share |
Balance in Share Forfeiture after re-issue |
Rs |
5 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue (per share) × No. of shares reissued
= Rs 5 × 15 Shares
= Rs 75
Page No 7.118:
Question 62:
(i) |
Book of Devendra Limited |
|||||
Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
2010 |
|
|
|
|
||
Jan. 01 |
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c |
|
|
800 |
||
|
To Calls-in-Arrears A/c |
|
|
200 |
||
|
(100 shares of Rs 10 each forfeited for the non-payment of Rs 2 per share) |
|
|
|
||
|
|
|
|
|
||
Feb. 01 |
Bank A/c |
Dr. |
|
420 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
180 |
|
|
|
To Equity Share Capital A/c |
|
|
600 |
||
|
(60 shares of Rs 10 each re-issued at Rs 7 per share, fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
|
To Capital Reserve A/c |
|
|
300 |
||
|
(Balance in Share Forfeiture Account of 60 shares after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Note:
Forfeiture of re-issued shares
Share Forfeiture Credit |
Rs |
8 |
per share |
Share Forfeiture Debit |
Rs |
3 |
per share |
Balance in Share Forfeiture after re-issue |
|
5 |
per share |
General Reserve = Balance in Share Forfeiture after re-issue (per share) × No. of shares reissued
= Rs 5 × 60
= Rs 300
(ii) |
Book of Virender Limited |
|||||
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
1,200 |
|
|
|
To Share Forfeiture A/c |
|
|
400 |
||
|
To Calls-in-Arrears A/c |
|
|
800 |
||
|
(20 shares of Rs 100 each Rs 60 called-up forfeited for the non-payment of Rs 40 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
675 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
225 |
|
|
|
To Share Capital A/c |
|
|
900 |
||
|
(15 shares of Rs 100 each re-issued for Rs 45 per share as Rs 60 paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
75 |
|
|
|
To Capital Reserve A/c |
|
|
75 |
||
|
(Balance in Share Forfeiture of 15 re-issued shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Note:
Forfeiture of reissued shares |
|||
Share Forfeiture Credit (at the time of forfeiture ) |
Rs |
20 |
per share |
Share Forfeiture Debit (at the time of re-issue) |
Rs |
15 |
per share |
Balance in Share Forfeiture after re-issue |
Rs |
5 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue (per share) × No. of shares reissued
= Rs 5 × 15 Shares
= Rs 75
Answer:
Application |
Rs |
1 |
|
Allotment |
Rs |
2 |
|
First Call |
Rs |
3 |
|
Second Call |
Rs |
2 |
|
|
Rs |
8 |
Called-up |
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Forfeiture of Shares |
|
|
|
|
|
Shares of A |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
800 |
|
|
To Share Forfeiture A/c |
|
|
100 |
|
|
To Calls-In-Arrears A/c |
|
|
700 |
|
|
(100 shares of Rs 10 each, Rs 8 called-up, held by A forfeited for the non-payment of Rs 7 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of B |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
1,600 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
1,000 |
|
|
(200 shares of Rs 10 each, Rs 8 called-up, held by B forfeited for non-payment of Rs 5 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of C |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
2,400 |
|
|
To Share Forfeiture A/c |
|
|
1,800 |
|
|
To Calls-in-Arrears A/c |
|
|
600 |
|
|
(300 shares of Rs 10 each, Rs 8 called-up held by C forfeited for the non-payment of Rs 2 per share) |
|
|
|
|
|
Re-issue of shares |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,600 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
To Securities Premium A/c |
|
|
600 |
|
|
(600 shares of Rs 10 each re-issued at Rs 11 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,500 |
|
|
To Capital Reserve A/c |
|
|
2,500 |
|
|
(Share Forfeiture transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Share Forfeiture of 100 shares held by A |
Rs |
100 |
Cr. |
Share Forfeiture of 200 shares held by B |
Rs |
600 |
Cr. |
Share Forfeiture of 300 shares held by C |
Rs |
1,800 |
Cr. |
Total Share Forfeiture credit (at the time of cancellation of shares) |
Rs |
2,500 |
|
Calculation of Capital Reserve
Total Share Forfeiture (at the time of cancellation of shares) = Rs 2,500 Cr.
Less: Total Share Forfeiture (at the time of re-issue of shares) = (NIL) Dr.
Capital Reserve =Rs 2,500
Page No 7.118:
Question 63:
Application |
Rs |
1 |
|
Allotment |
Rs |
2 |
|
First Call |
Rs |
3 |
|
Second Call |
Rs |
2 |
|
|
Rs |
8 |
Called-up |
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Forfeiture of Shares |
|
|
|
|
|
Shares of A |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
800 |
|
|
To Share Forfeiture A/c |
|
|
100 |
|
|
To Calls-In-Arrears A/c |
|
|
700 |
|
|
(100 shares of Rs 10 each, Rs 8 called-up, held by A forfeited for the non-payment of Rs 7 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of B |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
1,600 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
1,000 |
|
|
(200 shares of Rs 10 each, Rs 8 called-up, held by B forfeited for non-payment of Rs 5 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of C |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
2,400 |
|
|
To Share Forfeiture A/c |
|
|
1,800 |
|
|
To Calls-in-Arrears A/c |
|
|
600 |
|
|
(300 shares of Rs 10 each, Rs 8 called-up held by C forfeited for the non-payment of Rs 2 per share) |
|
|
|
|
|
Re-issue of shares |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,600 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
To Securities Premium A/c |
|
|
600 |
|
|
(600 shares of Rs 10 each re-issued at Rs 11 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,500 |
|
|
To Capital Reserve A/c |
|
|
2,500 |
|
|
(Share Forfeiture transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Share Forfeiture of 100 shares held by A |
Rs |
100 |
Cr. |
Share Forfeiture of 200 shares held by B |
Rs |
600 |
Cr. |
Share Forfeiture of 300 shares held by C |
Rs |
1,800 |
Cr. |
Total Share Forfeiture credit (at the time of cancellation of shares) |
Rs |
2,500 |
|
Calculation of Capital Reserve
Total Share Forfeiture (at the time of cancellation of shares) = Rs 2,500 Cr.
Less: Total Share Forfeiture (at the time of re-issue of shares) = (NIL) Dr.
Capital Reserve =Rs 2,500
Answer:
Book of Wye Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Forfeiture of Shares |
|
|
|
|
|
Shares of A |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c |
|
|
8,000 |
|
|
(500 shares of Rs 20 each held by A forfeited for the non-payment of Rs 16 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of B |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
6,000 |
|
|
To Share Forfeiture A/c |
|
|
2,400 |
|
|
To Calls-In-Arrears A/c |
|
|
3,600 |
|
|
(300 shares of Rs 20 each held by B forfeited for non-payment of Rs 12 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of C |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
2,800 |
|
|
To Calls-In-Arrears A/c |
|
|
1,200 |
|
|
(200 shares of Rs 20 each held by C forfeited for the non-payment of Rs 6 per share) |
|
|
|
|
|
|
|
|
|
|
|
Re-issue of Shares |
|
|
|
|
|
Shares of A |
|
|
|
|
|
Bank A/c |
Dr. |
|
9,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(500 shares of Rs 20 each had forfeited from A, were reissued at Rs 18 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Shares of B |
|
|
|
|
|
Bank A/c |
Dr. |
|
4,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,200 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
(300 shares of Rs 20 each had forfeited from B, reissued at Rs 16 per share ) |
|
|
|
|
|
|
|
|
|
|
|
Share of C |
|
|
|
|
|
Bank A/c |
Dr. |
|
3,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Share Capital A/c |
|
|
4,000 |
|
|
(200 share of Rs 20 each had forfeited from C, reissued at Rs 15 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Capital Reserve |
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Capital Reserve |
|
|
4,000 |
|
|
(Balance of Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture) = 2,000 + 2,400 + 2,800
= Rs 7,200
Share Forfeiture Debit (at the time of re-issue) = 1,000 + 1,200 + 1,000
= Rs 3,200
Capital Reserve = Share Forfeiture Credit − Share Forfeiture Debit
= 7,200 − 3,200
= Rs 4,000
Page No 7.119:
Question 64:
Book of Wye Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Forfeiture of Shares |
|
|
|
|
|
Shares of A |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c |
|
|
8,000 |
|
|
(500 shares of Rs 20 each held by A forfeited for the non-payment of Rs 16 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of B |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
6,000 |
|
|
To Share Forfeiture A/c |
|
|
2,400 |
|
|
To Calls-In-Arrears A/c |
|
|
3,600 |
|
|
(300 shares of Rs 20 each held by B forfeited for non-payment of Rs 12 per share) |
|
|
|
|
|
|
|
|
|
|
|
Shares of C |
|
|
|
|
|
Share Capital A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
2,800 |
|
|
To Calls-In-Arrears A/c |
|
|
1,200 |
|
|
(200 shares of Rs 20 each held by C forfeited for the non-payment of Rs 6 per share) |
|
|
|
|
|
|
|
|
|
|
|
Re-issue of Shares |
|
|
|
|
|
Shares of A |
|
|
|
|
|
Bank A/c |
Dr. |
|
9,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(500 shares of Rs 20 each had forfeited from A, were reissued at Rs 18 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Shares of B |
|
|
|
|
|
Bank A/c |
Dr. |
|
4,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,200 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
(300 shares of Rs 20 each had forfeited from B, reissued at Rs 16 per share ) |
|
|
|
|
|
|
|
|
|
|
|
Share of C |
|
|
|
|
|
Bank A/c |
Dr. |
|
3,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Share Capital A/c |
|
|
4,000 |
|
|
(200 share of Rs 20 each had forfeited from C, reissued at Rs 15 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Capital Reserve |
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Capital Reserve |
|
|
4,000 |
|
|
(Balance of Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture) = 2,000 + 2,400 + 2,800
= Rs 7,200
Share Forfeiture Debit (at the time of re-issue) = 1,000 + 1,200 + 1,000
= Rs 3,200
Capital Reserve = Share Forfeiture Credit − Share Forfeiture Debit
= 7,200 − 3,200
= Rs 4,000
Answer:
Authorised Capital 10,000 equity shares of Rs 10 each
Issued Capital 6,000 shares
Applied Capital 8,000 shares
Allotment made as: |
|
Payable as: |
|
|
|
||
Applied |
|
Alloted |
|
Application |
Rs |
2 |
per share |
7,000 |
|
6,000 |
|
Allotment |
Rs |
4 |
per share |
1,000 |
|
NIL |
|
First and Final Call |
Rs |
4 |
per share |
8,000 |
|
6,000 |
|
|
|
10 |
per share |
|
Cash Book |
|
|||
Dr. |
|
Cr. |
|||
Date |
Particulars
|
Bank Rs |
Date |
Particulars |
Bank Rs |
|
|
|
|
|
|
|
Equity Share Application |
16,000 |
|
Equity Share Application |
2,000 |
|
Equity Share Allotment |
22,000 |
|
|
|
|
Equity Share First and Final Call |
23,600 |
|
Balance c/d |
59,600 |
|
|
61,600 |
|
|
61,600 |
|
|
|
|
|
|
Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Equity Share Application A/c |
Dr. |
|
14,000 |
|
|
|
To Equity Share Capital A/c |
|
|
12,000 |
||
|
To Equity Share Allotment A/c |
|
|
2,000 |
||
|
(Share application money of 6,000 shares at Rs 2 each transferred to Share Capital and Rs 2,000 adjusted towards allotment) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Allotment A/c |
Dr. |
|
24,000 |
|
|
|
To Equity Share Capital A/c |
|
|
24,000 |
||
|
(Share allotment money due on 6,000 shares at Rs 4 each) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share First and Final Call A/c |
Dr. |
|
24,000 |
|
|
|
To Equity Share Capital A/c |
|
|
24,000 |
||
|
(Share First and Final Call due on 6,000 shares at Rs 4 each) |
|
|
|
||
|
|
|
|
|
||
|
Calls-in-Arrears A/c |
Dr. |
|
400 |
|
|
|
To Equity First and Final Call A/c |
|
|
400 |
||
|
(A holder of 100 shares failed to pay First and Final Call money and amount due from him transferred to Calls-in-Arrears Account) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c |
|
|
600 |
||
|
To Calls-in-Arrears A/c |
|
|
400 |
||
|
(100 shares of Rs 10 each forfeited for the non-payment of first and final call Rs 4 per share) |
|
|
|
||
|
|
|
|
|
Page No 7.119:
Question 65:
Authorised Capital 10,000 equity shares of Rs 10 each
Issued Capital 6,000 shares
Applied Capital 8,000 shares
Allotment made as: |
|
Payable as: |
|
|
|
||
Applied |
|
Alloted |
|
Application |
Rs |
2 |
per share |
7,000 |
|
6,000 |
|
Allotment |
Rs |
4 |
per share |
1,000 |
|
NIL |
|
First and Final Call |
Rs |
4 |
per share |
8,000 |
|
6,000 |
|
|
|
10 |
per share |
|
Cash Book |
|
|||
Dr. |
|
Cr. |
|||
Date |
Particulars
|
Bank Rs |
Date |
Particulars |
Bank Rs |
|
|
|
|
|
|
|
Equity Share Application |
16,000 |
|
Equity Share Application |
2,000 |
|
Equity Share Allotment |
22,000 |
|
|
|
|
Equity Share First and Final Call |
23,600 |
|
Balance c/d |
59,600 |
|
|
61,600 |
|
|
61,600 |
|
|
|
|
|
|
Journal |
||||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Equity Share Application A/c |
Dr. |
|
14,000 |
|
|
|
To Equity Share Capital A/c |
|
|
12,000 |
||
|
To Equity Share Allotment A/c |
|
|
2,000 |
||
|
(Share application money of 6,000 shares at Rs 2 each transferred to Share Capital and Rs 2,000 adjusted towards allotment) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Allotment A/c |
Dr. |
|
24,000 |
|
|
|
To Equity Share Capital A/c |
|
|
24,000 |
||
|
(Share allotment money due on 6,000 shares at Rs 4 each) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share First and Final Call A/c |
Dr. |
|
24,000 |
|
|
|
To Equity Share Capital A/c |
|
|
24,000 |
||
|
(Share First and Final Call due on 6,000 shares at Rs 4 each) |
|
|
|
||
|
|
|
|
|
||
|
Calls-in-Arrears A/c |
Dr. |
|
400 |
|
|
|
To Equity First and Final Call A/c |
|
|
400 |
||
|
(A holder of 100 shares failed to pay First and Final Call money and amount due from him transferred to Calls-in-Arrears Account) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c |
|
|
600 |
||
|
To Calls-in-Arrears A/c |
|
|
400 |
||
|
(100 shares of Rs 10 each forfeited for the non-payment of first and final call Rs 4 per share) |
|
|
|
||
|
|
|
|
|
Answer:
Issued 20,000 Shares
Applied 35,000 Shares
Allotment made as |
Payable as |
||||||
Applied |
|
Allotted |
|
Application |
Rs |
4 |
Per Share |
10,000 |
|
NIL |
|
Allotment |
Rs |
2 |
Per Share |
15,000 |
|
10,000 |
|
First Call |
Rs |
2 |
Per Share |
10,000 |
|
10,000 |
|
Final Call |
Rs |
2 |
Per Share |
35,000 |
|
20,000 |
|
|
|
10 |
Per Share |
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share Application |
|
1,40,000 |
|
Equity Share Application |
|
40,000 |
|
Equity Share Allotment |
|
20,000 |
|
|
|
|
|
Equity Share First Call |
|
39,000 |
|
|
|
|
|
Equity Share Final Call |
|
39,000 |
|
|
|
|
|
Equity Share Capital |
|
1,200 |
|
Balance c/d |
|
1,99,200 |
|
|
|
2,39,200 |
|
|
|
2,39,200 |
|
|
|
|
|
|
|
|
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
To Equity Share Allotment |
|
|
20,000 |
|
|
(Equity Share Application money of 20,000 shares at Rs 4 each transferred to Share Capital and excess money Rs 20,000 adjusted towards allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share allotment due on 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share First and Final Call due on 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share First Call A/c |
|
|
1,000 |
|
|
(On account of non-payment share first call money Rs 2 on 500 shares transferred to Calls-In-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share Final Call due) |
|
|
|
|
|
|
|
|
|
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Final Call A/c |
|
|
1,000 |
|
|
(Final call money of 500 shares transferred to Calls-in-Arrears, on account of non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
5,000 |
|
|
To Share Forfeiture A/c |
|
|
3,000 |
|
|
To Calls-In-Arrears A/c |
|
|
2,000 |
|
|
(500 shares of Rs 10 each forfeited for the non-payment of Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
800 |
|
|
To Equity Share Capital A/c |
|
|
800 |
|
|
(Loss on re-issue of 200 shares at Rs 4 per share, charged from Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
400 |
|
|
To Capital Reserve A/c |
|
|
400 |
|
|
(Balance in Share Forfeiture Account of 200 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
D Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,98,800 |
b. Reserves and Surplus |
2 |
400 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,99,200 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
1,99,200 |
Total |
|
1,99,200 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
…… shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
19,700 shares of Rs 10 each |
1,97,000 |
|
|
Add: Shares Forfeited (300 shares × Rs 6) |
1,800 |
1,98,800 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
400 |
|
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
1,99,200 |
|
|
|
|
Working Notes:
Share Forfeiture of 200 shares
Share Forfeiture Credit (at the time of forfeiture) |
6 |
per share |
Less: Share Forfeiture Debit (at the time of reissue) |
4 |
per share |
Balance in Share Forfeiture after re-issue shares |
2 |
per share |
Capital Reserve = Balance in Share Forfeiture of reissued shares × No. of shares reissued = Rs 2 × 200 = Rs 400
Page No 7.119:
Question 66:
Issued 20,000 Shares
Applied 35,000 Shares
Allotment made as |
Payable as |
||||||
Applied |
|
Allotted |
|
Application |
Rs |
4 |
Per Share |
10,000 |
|
NIL |
|
Allotment |
Rs |
2 |
Per Share |
15,000 |
|
10,000 |
|
First Call |
Rs |
2 |
Per Share |
10,000 |
|
10,000 |
|
Final Call |
Rs |
2 |
Per Share |
35,000 |
|
20,000 |
|
|
|
10 |
Per Share |
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share Application |
|
1,40,000 |
|
Equity Share Application |
|
40,000 |
|
Equity Share Allotment |
|
20,000 |
|
|
|
|
|
Equity Share First Call |
|
39,000 |
|
|
|
|
|
Equity Share Final Call |
|
39,000 |
|
|
|
|
|
Equity Share Capital |
|
1,200 |
|
Balance c/d |
|
1,99,200 |
|
|
|
2,39,200 |
|
|
|
2,39,200 |
|
|
|
|
|
|
|
|
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
To Equity Share Allotment |
|
|
20,000 |
|
|
(Equity Share Application money of 20,000 shares at Rs 4 each transferred to Share Capital and excess money Rs 20,000 adjusted towards allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share allotment due on 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share First and Final Call due on 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share First Call A/c |
|
|
1,000 |
|
|
(On account of non-payment share first call money Rs 2 on 500 shares transferred to Calls-In-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share Final Call due) |
|
|
|
|
|
|
|
|
|
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Final Call A/c |
|
|
1,000 |
|
|
(Final call money of 500 shares transferred to Calls-in-Arrears, on account of non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
5,000 |
|
|
To Share Forfeiture A/c |
|
|
3,000 |
|
|
To Calls-In-Arrears A/c |
|
|
2,000 |
|
|
(500 shares of Rs 10 each forfeited for the non-payment of Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
800 |
|
|
To Equity Share Capital A/c |
|
|
800 |
|
|
(Loss on re-issue of 200 shares at Rs 4 per share, charged from Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
400 |
|
|
To Capital Reserve A/c |
|
|
400 |
|
|
(Balance in Share Forfeiture Account of 200 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
D Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,98,800 |
b. Reserves and Surplus |
2 |
400 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,99,200 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
1,99,200 |
Total |
|
1,99,200 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
…… shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
19,700 shares of Rs 10 each |
1,97,000 |
|
|
Add: Shares Forfeited (300 shares × Rs 6) |
1,800 |
1,98,800 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
400 |
|
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
1,99,200 |
|
|
|
|
Working Notes:
Share Forfeiture of 200 shares
Share Forfeiture Credit (at the time of forfeiture) |
6 |
per share |
Less: Share Forfeiture Debit (at the time of reissue) |
4 |
per share |
Balance in Share Forfeiture after re-issue shares |
2 |
per share |
Capital Reserve = Balance in Share Forfeiture of reissued shares × No. of shares reissued = Rs 2 × 200 = Rs 400
Answer:
Amount payable as
Application |
Rs |
2 |
Allotment |
Rs |
4 |
First Call |
Rs |
2 |
Final Call |
Rs |
2 |
|
|
10 |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
40,000 |
|
|
To Share Application A/c |
|
|
40,000 |
|
|
(Share application money received for 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(Share application money of 20,000 shares at Rs 2 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
80,000 |
|
|
To Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 20,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
80,000 |
|
|
To Share Allotment A/c |
|
|
80,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(Share first call due on 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
38,600 |
|
|
Call-in-Arrears A/c (1,000×2) |
Dr. |
|
2,000 |
|
|
To Share First Call A/c |
|
|
40,000 |
|
|
To Calls-in-Advance (300×2) |
|
|
600 |
|
|
(Share first call of Rs 2 per share received on 19,000 shares along with calls-in-advance of 300 shares at Rs 2 each and holders of 1,000 shares failed to pay the first call) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
8,000 |
|
|
To Share Forfeiture A/c (1,000×6) |
|
|
6,000 |
|
|
To Calls-In-Arrears A/c |
|
|
2,000 |
|
|
(1,000 shares of Rs 10 each on which Rs 8 had called, forfeited for non-payment of first call Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
38,000 |
|
|
To Share Capital A/c |
|
|
38,000 |
|
|
(Share final call due on 19,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
37,400 |
|
|
Calls-In-Advance A/c |
Dr. |
|
600 |
|
|
To Share Final Call A/c |
|
|
38,000 |
|
|
(Share final call received from 18,700 shares and calls-in-advance of 300 shares adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(1,000 shares, re-issued at Rs 6 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Capital Reserve A/c |
|
|
2,000 |
|
|
(Balance of Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,00,000 |
b. Reserves and Surplus |
2 |
2,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,02,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,02,000 |
Total |
|
2,02,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
50,000 shares of Rs 10 each |
5,00,000 |
|
Issued Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
||
2 |
Reserves and Surplus |
|
|
Capital Reserve |
2,000 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
2,02,000 |
|
|
|
Working Notes:
Share Forfeiture Credit (at the time of forfeiture of shares) |
6,000 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
4,000 |
Balance in Share Forfeiture Account after re-issue of shares |
2,000 |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares = Rs 2,000
Page No 7.119:
Question 67:
Amount payable as
Application |
Rs |
2 |
Allotment |
Rs |
4 |
First Call |
Rs |
2 |
Final Call |
Rs |
2 |
|
|
10 |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
40,000 |
|
|
To Share Application A/c |
|
|
40,000 |
|
|
(Share application money received for 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(Share application money of 20,000 shares at Rs 2 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
80,000 |
|
|
To Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 20,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
80,000 |
|
|
To Share Allotment A/c |
|
|
80,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(Share first call due on 20,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
38,600 |
|
|
Call-in-Arrears A/c (1,000×2) |
Dr. |
|
2,000 |
|
|
To Share First Call A/c |
|
|
40,000 |
|
|
To Calls-in-Advance (300×2) |
|
|
600 |
|
|
(Share first call of Rs 2 per share received on 19,000 shares along with calls-in-advance of 300 shares at Rs 2 each and holders of 1,000 shares failed to pay the first call) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
8,000 |
|
|
To Share Forfeiture A/c (1,000×6) |
|
|
6,000 |
|
|
To Calls-In-Arrears A/c |
|
|
2,000 |
|
|
(1,000 shares of Rs 10 each on which Rs 8 had called, forfeited for non-payment of first call Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
38,000 |
|
|
To Share Capital A/c |
|
|
38,000 |
|
|
(Share final call due on 19,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
37,400 |
|
|
Calls-In-Advance A/c |
Dr. |
|
600 |
|
|
To Share Final Call A/c |
|
|
38,000 |
|
|
(Share final call received from 18,700 shares and calls-in-advance of 300 shares adjusted) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(1,000 shares, re-issued at Rs 6 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Capital Reserve A/c |
|
|
2,000 |
|
|
(Balance of Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
2,00,000 |
b. Reserves and Surplus |
2 |
2,000 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,02,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,02,000 |
Total |
|
2,02,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Share Capital |
|
|
Authorised Share Capital |
|
|
50,000 shares of Rs 10 each |
5,00,000 |
|
Issued Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
||
2 |
Reserves and Surplus |
|
|
Capital Reserve |
2,000 |
|
|
|
3 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
2,02,000 |
|
|
|
Working Notes:
Share Forfeiture Credit (at the time of forfeiture of shares) |
6,000 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
4,000 |
Balance in Share Forfeiture Account after re-issue of shares |
2,000 |
Capital Reserve = Balance in Share Forfeiture Account of re-issued shares = Rs 2,000
Answer:
Authorised capital 50,000 shares of Rs 10 each
Issued |
30,000 shares |
|
Payable as: |
|
|
Applied |
46,000 shares |
|
Application |
Rs |
2 |
|
|
|
Allotment |
Rs |
4 |
|
|
|
First and Final Call |
Rs |
4 |
|
|
|
|
Rs |
10 |
|
|
|
|
|
|
|
Applied Shares |
Alloted Shares |
Money received on Application @ Rs 2 each |
Money transfers to Share Capital @ Rs 2 each |
Excess Application money |
Allotment due @ Rs 4 each |
Excess application money adjustment on allotment |
20,000 |
20,000 |
40,000 |
40,000 |
– |
80,000 |
– |
25,000 |
10,000 |
50,000 |
20,000 |
30,000 |
40,000 |
30,000 |
1,000
|
–
|
2,000
|
–
|
2,000 (return) |
|
|
46,000 |
30,000 |
92,000 |
60,000 |
|
1,20,000 |
30,000 |
|
|
|
|
|
|
|
1. Calculation of Calls-In-Arrears on Allotment
Allotment due |
Rs |
1,20,000 |
Less: Excess Application money adjusted on allotment |
Rs |
30,000 |
Less: Money received on Allotment |
Rs |
86,000 |
Calls-in-Arrears on Allotment |
Rs |
Rs 4,000 |
2. Calculation of Calls-in-Arrears on First and Final Call
First and Final Call due 30,000 × Rs 4 per share |
= |
1,20,000 |
Less: Money received on First and Final Call |
= |
1,00,000 |
Calls in Arrears |
|
20,000 |
Books of Swaraj & Co. |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
92,000 |
|
|
To Share Application A/c |
|
|
92,000 |
|
|
(Share application money received for 46,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
92,000 |
|
|
To Share Capital A/c |
|
|
60,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
To Bank A/c |
|
|
2,000 |
|
|
(Share application money of 30,000 shares at Rs 2 each transferred to Share Capital, Rs 30,000 adjusted towards allotment and Rs 2,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,20,000 |
|
|
(Share allotment due on 30,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
86,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
4,000 |
|
|
To Share Allotment A/c |
|
|
90,000 |
|
|
(Share allotment money received and arrears 1,000 shares transferred to Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,20,000 |
|
|
(Share first and final call due on 30,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
Call-In-Arrears A/c |
Dr. |
|
20,000 |
|
|
To Share First and Final Call A/c |
|
|
1,20,000 |
|
|
(Share first and final call received on 25,000 shares and holders of 5,000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c (1,000×10) |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
2,000 |
|
|
To Calls-In-Arrears A/c |
|
|
8,000 |
|
|
(1,000 shares of Rs 10 each forfeited for the non-payment allotment and call) |
|
|
|
|
|
|
|
|
|
Page No 7.119:
Question 68:
Authorised capital 50,000 shares of Rs 10 each
Issued |
30,000 shares |
|
Payable as: |
|
|
Applied |
46,000 shares |
|
Application |
Rs |
2 |
|
|
|
Allotment |
Rs |
4 |
|
|
|
First and Final Call |
Rs |
4 |
|
|
|
|
Rs |
10 |
|
|
|
|
|
|
|
Applied Shares |
Alloted Shares |
Money received on Application @ Rs 2 each |
Money transfers to Share Capital @ Rs 2 each |
Excess Application money |
Allotment due @ Rs 4 each |
Excess application money adjustment on allotment |
20,000 |
20,000 |
40,000 |
40,000 |
– |
80,000 |
– |
25,000 |
10,000 |
50,000 |
20,000 |
30,000 |
40,000 |
30,000 |
1,000
|
–
|
2,000
|
–
|
2,000 (return) |
|
|
46,000 |
30,000 |
92,000 |
60,000 |
|
1,20,000 |
30,000 |
|
|
|
|
|
|
|
1. Calculation of Calls-In-Arrears on Allotment
Allotment due |
Rs |
1,20,000 |
Less: Excess Application money adjusted on allotment |
Rs |
30,000 |
Less: Money received on Allotment |
Rs |
86,000 |
Calls-in-Arrears on Allotment |
Rs |
Rs 4,000 |
2. Calculation of Calls-in-Arrears on First and Final Call
First and Final Call due 30,000 × Rs 4 per share |
= |
1,20,000 |
Less: Money received on First and Final Call |
= |
1,00,000 |
Calls in Arrears |
|
20,000 |
Books of Swaraj & Co. |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
92,000 |
|
|
To Share Application A/c |
|
|
92,000 |
|
|
(Share application money received for 46,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
92,000 |
|
|
To Share Capital A/c |
|
|
60,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
To Bank A/c |
|
|
2,000 |
|
|
(Share application money of 30,000 shares at Rs 2 each transferred to Share Capital, Rs 30,000 adjusted towards allotment and Rs 2,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,20,000 |
|
|
(Share allotment due on 30,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
86,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
4,000 |
|
|
To Share Allotment A/c |
|
|
90,000 |
|
|
(Share allotment money received and arrears 1,000 shares transferred to Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,20,000 |
|
|
(Share first and final call due on 30,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
Call-In-Arrears A/c |
Dr. |
|
20,000 |
|
|
To Share First and Final Call A/c |
|
|
1,20,000 |
|
|
(Share first and final call received on 25,000 shares and holders of 5,000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c (1,000×10) |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
2,000 |
|
|
To Calls-In-Arrears A/c |
|
|
8,000 |
|
|
(1,000 shares of Rs 10 each forfeited for the non-payment allotment and call) |
|
|
|
|
|
|
|
|
|
Answer:
Authorised Capital 25,000 shares of Rs 10 each
Issued Capital:
4,000 shares to the vendor of building
8,000 shares issued to public
Share Issued to public payable as:
Application |
Rs |
2 |
Per Share |
(6,000 + 1,250 + 500 + 250 |
= |
8,000) |
Allotment |
Re |
1 |
Per Share |
(6,000 + 1,250, + 500 |
= |
7,750) |
First Call |
Re |
1 |
Per Share |
(6,000 + 1,250 |
= |
7,250) |
Second Call |
Re |
1 |
Per Share |
(6,000 + |
= |
6,000) |
|
|
5 |
Per Share |
|
|
|
Shares to be forfeited (on which paid less then Rs 4) are as:
Shares on which paid Rs 3 per share |
500 |
Shares on which paid Rs 2 per share |
250 |
Number of shares to be forfeited = |
750 |
Books of New Company Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Building A/c |
Dr. |
|
40,000 |
|
|
To Vendor |
|
|
40,000 |
|
|
(Building purchased) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(4,000 shares of Rs 10 each issued to the vendor in consideration of building purchased) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
16,000 |
|
|
To Share Application A/c |
|
|
16,000 |
|
|
(Share application money received for 8,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
16,000 |
|
|
To Share Capital A/c |
|
|
16,000 |
|
|
(Share application of 8,000 shares transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share allotment due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,750 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
250 |
|
|
To Share Allotment A/c |
|
|
8,000 |
|
|
(Share Allotment of Re 1 each received from 7,750 shares and holders of 250 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share first call due on 8,000 shares at Re 1each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,250 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
750 |
|
|
To Share First-Call A/c |
|
|
8,000 |
|
|
(Share first call Re 1 received 7,250 shares and holders of 750 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Second Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share final call due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
2,000 |
|
|
To Share Second Call A/c |
|
|
8,000 |
|
|
(Share second call Re 1 received from 6,000 shares and holder of 2,000 share failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c (750 × 5) |
Dr. |
|
3,750 |
|
|
To Share Forfeiture A/c ((500 × 3) + (250 × 2)) |
|
|
2,000 |
|
|
To Calls in Arrears (500 × 2 + 250 × 3) |
|
|
1,750 |
|
|
(750 shares of Rs 10 each Rs 5 called-up on which less than Rs 4 had received, were forfeited) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,250 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,500 |
|
|
To Share Capital A/c |
|
|
3,750 |
|
|
(750 shares re-issued at Rs 3 per share as Rs 5 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Capital Reserve |
|
|
500 |
|
|
(Balance in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
New Company Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
78,750 |
b. Reserves and Surplus |
2 |
500 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
79,250 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Fixed Assets |
|
|
i. Tangible Assets |
3 |
40,000 |
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
4 |
39,250 |
Total |
|
79,250 |
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
25,000 shares of Rs 10 each |
2,50,000 |
|
|
Issued Share Capital |
|
|
|
12,000 shares of Rs 10 each |
1,20,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
4,000 shares of Rs 10 each(for consideration other than cash) |
40,000 |
|
|
8,000 shares of Rs 10 each, Rs 5 Called-up |
40,000 |
|
|
Less: Calls in Arrears (1,250 shares × Re 1) |
(1,250) |
78,750 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Capital Reserve |
500 |
||
|
|||
3 |
Tangible Assets |
|
|
Building |
40,000 |
||
|
|||
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
39,250 |
|
|
|
|
Working Notes:
1.
Calls-in-Arrears on Allotment (250 shares × Re 1) |
250 |
Calls-in-Arrears on First Call (750 shares × Re 1) |
750 |
Calls-in-Arrears on Second Call (2,000 shares × Re 1) |
2,000 |
Total Calls-in-Arrears Debit |
3,000 |
Less: Calls-in-Arrears Credit (at the time of forfeiture) |
(1,750) |
Calls-in-Arrears to be shown in the Balance Sheet |
1250 |
2. Calculation of amount of share forfeiture credited on shares re-issued shares
Share Forfeiture of 250 shares (on which Rs 2 per share paid) |
Rs |
500 |
Cr. |
Share Forfeiture of 500 shares (on which Rs 3 per share paid) |
Rs |
1,500 |
Cr. |
Total Share Forfeiture credit (on 750 shares) |
Rs |
2,000 |
|
Calculation of Capital Reserve
Total Share Forfeiture (on 750 shares) = Rs 2,000 credit
Less: Share Forfeiture (750 shares × Rs 2 per share) = Rs (1,500) debit
Capital Reserve = Rs 500
Page No 7.120:
Question 69:
Authorised Capital 25,000 shares of Rs 10 each
Issued Capital:
4,000 shares to the vendor of building
8,000 shares issued to public
Share Issued to public payable as:
Application |
Rs |
2 |
Per Share |
(6,000 + 1,250 + 500 + 250 |
= |
8,000) |
Allotment |
Re |
1 |
Per Share |
(6,000 + 1,250, + 500 |
= |
7,750) |
First Call |
Re |
1 |
Per Share |
(6,000 + 1,250 |
= |
7,250) |
Second Call |
Re |
1 |
Per Share |
(6,000 + |
= |
6,000) |
|
|
5 |
Per Share |
|
|
|
Shares to be forfeited (on which paid less then Rs 4) are as:
Shares on which paid Rs 3 per share |
500 |
Shares on which paid Rs 2 per share |
250 |
Number of shares to be forfeited = |
750 |
Books of New Company Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Building A/c |
Dr. |
|
40,000 |
|
|
To Vendor |
|
|
40,000 |
|
|
(Building purchased) |
|
|
|
|
|
|
|
|
|
|
|
Vendor |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(4,000 shares of Rs 10 each issued to the vendor in consideration of building purchased) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
16,000 |
|
|
To Share Application A/c |
|
|
16,000 |
|
|
(Share application money received for 8,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
16,000 |
|
|
To Share Capital A/c |
|
|
16,000 |
|
|
(Share application of 8,000 shares transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share allotment due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,750 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
250 |
|
|
To Share Allotment A/c |
|
|
8,000 |
|
|
(Share Allotment of Re 1 each received from 7,750 shares and holders of 250 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share first call due on 8,000 shares at Re 1each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,250 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
750 |
|
|
To Share First-Call A/c |
|
|
8,000 |
|
|
(Share first call Re 1 received 7,250 shares and holders of 750 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Second Call A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
8,000 |
|
|
(Share final call due on 8,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
2,000 |
|
|
To Share Second Call A/c |
|
|
8,000 |
|
|
(Share second call Re 1 received from 6,000 shares and holder of 2,000 share failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c (750 × 5) |
Dr. |
|
3,750 |
|
|
To Share Forfeiture A/c ((500 × 3) + (250 × 2)) |
|
|
2,000 |
|
|
To Calls in Arrears (500 × 2 + 250 × 3) |
|
|
1,750 |
|
|
(750 shares of Rs 10 each Rs 5 called-up on which less than Rs 4 had received, were forfeited) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,250 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,500 |
|
|
To Share Capital A/c |
|
|
3,750 |
|
|
(750 shares re-issued at Rs 3 per share as Rs 5 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Capital Reserve |
|
|
500 |
|
|
(Balance in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
New Company Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
78,750 |
b. Reserves and Surplus |
2 |
500 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
79,250 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Fixed Assets |
|
|
i. Tangible Assets |
3 |
40,000 |
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
4 |
39,250 |
Total |
|
79,250 |
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
25,000 shares of Rs 10 each |
2,50,000 |
|
|
Issued Share Capital |
|
|
|
12,000 shares of Rs 10 each |
1,20,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
4,000 shares of Rs 10 each(for consideration other than cash) |
40,000 |
|
|
8,000 shares of Rs 10 each, Rs 5 Called-up |
40,000 |
|
|
Less: Calls in Arrears (1,250 shares × Re 1) |
(1,250) |
78,750 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Capital Reserve |
500 |
||
|
|||
3 |
Tangible Assets |
|
|
Building |
40,000 |
||
|
|||
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
39,250 |
|
|
|
|
Working Notes:
1.
Calls-in-Arrears on Allotment (250 shares × Re 1) |
250 |
Calls-in-Arrears on First Call (750 shares × Re 1) |
750 |
Calls-in-Arrears on Second Call (2,000 shares × Re 1) |
2,000 |
Total Calls-in-Arrears Debit |
3,000 |
Less: Calls-in-Arrears Credit (at the time of forfeiture) |
(1,750) |
Calls-in-Arrears to be shown in the Balance Sheet |
1250 |
2. Calculation of amount of share forfeiture credited on shares re-issued shares
Share Forfeiture of 250 shares (on which Rs 2 per share paid) |
Rs |
500 |
Cr. |
Share Forfeiture of 500 shares (on which Rs 3 per share paid) |
Rs |
1,500 |
Cr. |
Total Share Forfeiture credit (on 750 shares) |
Rs |
2,000 |
|
Calculation of Capital Reserve
Total Share Forfeiture (on 750 shares) = Rs 2,000 credit
Less: Share Forfeiture (750 shares × Rs 2 per share) = Rs (1,500) debit
Capital Reserve = Rs 500
Answer:
Issued and Applied 10,000 shares of Rs 10 each
Payable as:
Application |
Rs |
3 |
Allotment |
Rs |
3 |
First Call |
Rs |
2 |
Final Call |
Rs |
2 |
|
|
10 |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Application A/c |
|
|
30,000 |
|
|
(Share application money received for 10,000 shares of Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
30,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
30,000 |
|
|
(Share allotment due on 10,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Allotment A/c |
|
|
30,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(Share first call due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,800 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
200 |
|
|
To Equity Share First Call A/c |
|
|
20,000 |
|
|
(Share first call of Rs 2 per share received on 9,800 shares and a holder of 100 failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(Share final call due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,600 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
400 |
|
|
To Equity Share Final Call A/c |
|
|
20,000 |
|
|
(Share final call of Rs 2 per share received on 9,600 shares and holders of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-In-Arrears A/c |
|
|
400 |
|
|
(100 shares of Rs 10 each held by A forfeited for the non-payment Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeature A/c |
|
|
800 |
|
|
To Calls-in-Arrears A/c |
|
|
200 |
|
|
(100 shares of Rs 10 each held by B, forfeited for the non-payment of Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,200 |
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Equity Share Capital |
|
|
1,500 |
|
|
(150 shares of Rs 10 each re-issued at Rs 8 per share, fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
700 |
|
|
To Capital Reserve A/c |
|
|
700 |
|
|
(Balance in Share Forfeiture Account of 150 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares
A’s Shares
Share Forfeiture (at the time of share forfeiture) |
Cr. |
Rs |
6 |
per share |
Share Forfeiture (at the time of re-issue) |
Dr. |
Rs |
2 |
per share |
Balance in Share Forfeiture (after re-issue) |
Cr. |
Rs |
4 |
per share |
B’s Shares
Share Forfeiture (at the time of share forfeiture ) |
Cr. |
Rs |
8 |
per share |
Share Forfeiture(at the time of re-issue) |
Dr. |
Rs |
2 |
per share |
Balance in Share Forfeiture (after re-issue) |
Cr. |
Rs |
6 |
per share |
Calculation of Capital Reserve
Capital Reserve = Balance in Share Forfeiture after re-issue (per share) × No of shares re-issued
On re-issue of A’s shares = Rs 4 × 100 shares = Rs 400
On re-issue of B’s shares = Rs 6 × 50 shares = Rs 300
Capital Reserve 150 shares = 400 + 300 = Rs 700
Page No 7.120:
Question 70:
Issued and Applied 10,000 shares of Rs 10 each
Payable as:
Application |
Rs |
3 |
Allotment |
Rs |
3 |
First Call |
Rs |
2 |
Final Call |
Rs |
2 |
|
|
10 |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Application A/c |
|
|
30,000 |
|
|
(Share application money received for 10,000 shares of Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
30,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
30,000 |
|
|
(Share allotment due on 10,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Allotment A/c |
|
|
30,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(Share first call due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,800 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
200 |
|
|
To Equity Share First Call A/c |
|
|
20,000 |
|
|
(Share first call of Rs 2 per share received on 9,800 shares and a holder of 100 failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(Share final call due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,600 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
400 |
|
|
To Equity Share Final Call A/c |
|
|
20,000 |
|
|
(Share final call of Rs 2 per share received on 9,600 shares and holders of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-In-Arrears A/c |
|
|
400 |
|
|
(100 shares of Rs 10 each held by A forfeited for the non-payment Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeature A/c |
|
|
800 |
|
|
To Calls-in-Arrears A/c |
|
|
200 |
|
|
(100 shares of Rs 10 each held by B, forfeited for the non-payment of Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,200 |
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Equity Share Capital |
|
|
1,500 |
|
|
(150 shares of Rs 10 each re-issued at Rs 8 per share, fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
700 |
|
|
To Capital Reserve A/c |
|
|
700 |
|
|
(Balance in Share Forfeiture Account of 150 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares
A’s Shares
Share Forfeiture (at the time of share forfeiture) |
Cr. |
Rs |
6 |
per share |
Share Forfeiture (at the time of re-issue) |
Dr. |
Rs |
2 |
per share |
Balance in Share Forfeiture (after re-issue) |
Cr. |
Rs |
4 |
per share |
B’s Shares
Share Forfeiture (at the time of share forfeiture ) |
Cr. |
Rs |
8 |
per share |
Share Forfeiture(at the time of re-issue) |
Dr. |
Rs |
2 |
per share |
Balance in Share Forfeiture (after re-issue) |
Cr. |
Rs |
6 |
per share |
Calculation of Capital Reserve
Capital Reserve = Balance in Share Forfeiture after re-issue (per share) × No of shares re-issued
On re-issue of A’s shares = Rs 4 × 100 shares = Rs 400
On re-issue of B’s shares = Rs 6 × 50 shares = Rs 300
Capital Reserve 150 shares = 400 + 300 = Rs 700
Answer:
Issued and Applied 10,000 Shares of Rs 10 each
|
|
|
|
|
A |
|
B |
|
C |
|
Paid-up Shares |
Application |
Rs |
1 |
(10,000 |
|
|
|
|
|
|
= |
10,000) |
Allotment |
Rs |
2 |
(10,000 |
– |
200 |
|
|
|
|
= |
9,800) |
First Call |
Rs |
3 |
(10,000 |
– |
200 |
– |
150 |
|
|
= |
9,650) |
Second and Final Call |
Rs |
4 |
(10,000 |
– |
200 |
– |
150 |
– |
50 |
= |
9,600) |
|
|
10 |
|
|
|
|
|
|
|
|
|
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Application A/c |
|
|
10,000 |
|
|
(Share application received for 10,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Capital A/c |
|
|
10,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(Share allotment due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,600 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
400 |
|
|
To Equity Share Allotment A/c |
|
|
20,000 |
|
|
(Share allotment of Rs 2 per share received on 9,800 shares and holder of 200 failed to pay to it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital |
|
|
30,000 |
|
|
(Share first call due on 10,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,950 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,050 |
|
|
To Equity Shares First Call A/c |
|
|
30,000 |
|
|
(Share first call received on 9,650 shares and holders of 350 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share final call due on 10,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
38,400 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,600 |
|
|
To Equity Share Final Call A/c |
|
|
40,000 |
|
|
(Holders of 9,600 shares paid final call and holders of 400 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c (200 × 1) |
|
|
200 |
|
|
To Calls-In-Arrears A/c (200 × 9) |
|
|
1,800 |
|
|
(200 shares held by A on which application money Re 1 was received, forfeited) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,500 |
|
|
To Share Forfeiture A/c (150 × 3) |
|
|
450 |
|
|
To Calls-In-Arrears A/c (150 × 7) |
|
|
1,050 |
|
|
(150 shares of Rs 10 each held by B forfeited for the non-payment of two calls Rs each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
500 |
|
|
To Share Forfeiture A/c (50 × 6) |
|
|
300 |
|
|
To Calls-in-Arrears A/c (50 × 4) |
|
|
200 |
|
|
(50 shares of Rs 10 each held by C forfeited for the non-payment of final call Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (400 × 9.5) |
Dr. |
|
3,800 |
|
|
Share Forfeiture A/c (400 × .5) |
Dr. |
|
200 |
|
|
To Equity Share Capital A/c |
|
|
4,000 |
|
|
(400 shares of Rs 10 each re-issued at Rs 9.5 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
750 |
|
|
To Capital Reserve A/c |
|
|
750 |
|
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Share Forfeiture of 100 shares held by A |
Rs |
200 |
Cr. |
Share Forfeiture of 200 shares held by B |
Rs |
450 |
Cr. |
Share Forfeiture of 300 shares held by C |
Rs |
300 |
Cr. |
Total Share Forfeiture credit (at the time of cancellation of shares) |
Rs |
950 |
|
Calculation of Capital Reserve
Total Share Forfeiture (at the time of cancellation of shares) = Rs 950
Less: Total Share Forfeiture (at the time of re-issue of shares) = Rs (200)
Capital Reserve = Rs 750
Page No 7.120:
Question 71:
Issued and Applied 10,000 Shares of Rs 10 each
|
|
|
|
|
A |
|
B |
|
C |
|
Paid-up Shares |
Application |
Rs |
1 |
(10,000 |
|
|
|
|
|
|
= |
10,000) |
Allotment |
Rs |
2 |
(10,000 |
– |
200 |
|
|
|
|
= |
9,800) |
First Call |
Rs |
3 |
(10,000 |
– |
200 |
– |
150 |
|
|
= |
9,650) |
Second and Final Call |
Rs |
4 |
(10,000 |
– |
200 |
– |
150 |
– |
50 |
= |
9,600) |
|
|
10 |
|
|
|
|
|
|
|
|
|
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Application A/c |
|
|
10,000 |
|
|
(Share application received for 10,000 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
10,000 |
|
|
To Equity Share Capital A/c |
|
|
10,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
(Share allotment due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,600 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
400 |
|
|
To Equity Share Allotment A/c |
|
|
20,000 |
|
|
(Share allotment of Rs 2 per share received on 9,800 shares and holder of 200 failed to pay to it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital |
|
|
30,000 |
|
|
(Share first call due on 10,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,950 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,050 |
|
|
To Equity Shares First Call A/c |
|
|
30,000 |
|
|
(Share first call received on 9,650 shares and holders of 350 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(Share final call due on 10,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
38,400 |
|
|
Calls-In-Arrears A/c |
Dr. |
|
1,600 |
|
|
To Equity Share Final Call A/c |
|
|
40,000 |
|
|
(Holders of 9,600 shares paid final call and holders of 400 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c (200 × 1) |
|
|
200 |
|
|
To Calls-In-Arrears A/c (200 × 9) |
|
|
1,800 |
|
|
(200 shares held by A on which application money Re 1 was received, forfeited) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,500 |
|
|
To Share Forfeiture A/c (150 × 3) |
|
|
450 |
|
|
To Calls-In-Arrears A/c (150 × 7) |
|
|
1,050 |
|
|
(150 shares of Rs 10 each held by B forfeited for the non-payment of two calls Rs each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
500 |
|
|
To Share Forfeiture A/c (50 × 6) |
|
|
300 |
|
|
To Calls-in-Arrears A/c (50 × 4) |
|
|
200 |
|
|
(50 shares of Rs 10 each held by C forfeited for the non-payment of final call Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (400 × 9.5) |
Dr. |
|
3,800 |
|
|
Share Forfeiture A/c (400 × .5) |
Dr. |
|
200 |
|
|
To Equity Share Capital A/c |
|
|
4,000 |
|
|
(400 shares of Rs 10 each re-issued at Rs 9.5 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
750 |
|
|
To Capital Reserve A/c |
|
|
750 |
|
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Share Forfeiture of 100 shares held by A |
Rs |
200 |
Cr. |
Share Forfeiture of 200 shares held by B |
Rs |
450 |
Cr. |
Share Forfeiture of 300 shares held by C |
Rs |
300 |
Cr. |
Total Share Forfeiture credit (at the time of cancellation of shares) |
Rs |
950 |
|
Calculation of Capital Reserve
Total Share Forfeiture (at the time of cancellation of shares) = Rs 950
Less: Total Share Forfeiture (at the time of re-issue of shares) = Rs (200)
Capital Reserve = Rs 750
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (Rs 80 – 10 premium) |
Dr. |
|
70 |
|
|
To Share Forfeiture (Rs 60 – 10 premium) |
|
|
50 |
|
|
To Calls-In-Arrears A/c |
|
|
20 |
|
|
(A share of Rs 100 on which Rs 70 called excluding the amount of securities premium Rs 10, forfeited for non-payment of Rs 20) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
70 |
|
|
Share Forfeiture A/c |
Dr. |
|
30 |
|
|
To Share Capital A/c |
|
|
100 |
|
|
(A share of Rs 100 re-issued at Rs 70 as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
20 |
|
|
To Capital Reserve A/c |
|
|
20 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Page No 7.120:
Question 72:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (Rs 80 – 10 premium) |
Dr. |
|
70 |
|
|
To Share Forfeiture (Rs 60 – 10 premium) |
|
|
50 |
|
|
To Calls-In-Arrears A/c |
|
|
20 |
|
|
(A share of Rs 100 on which Rs 70 called excluding the amount of securities premium Rs 10, forfeited for non-payment of Rs 20) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
70 |
|
|
Share Forfeiture A/c |
Dr. |
|
30 |
|
|
To Share Capital A/c |
|
|
100 |
|
|
(A share of Rs 100 re-issued at Rs 70 as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
20 |
|
|
To Capital Reserve A/c |
|
|
20 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Answer:
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (300 × 8) |
Dr. |
|
2,400 |
|
|
To Share Forfeiture A/c (300 × 6) |
|
|
1,800 |
|
|
To Calls-In-Arrears (300 × 2) |
|
|
600 |
|
|
(300 shares of Rs 10 each on which Rs 8 had called, forfeited for non-payment Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,500 |
|
|
To Share Capital A/c |
|
|
1,500 |
|
|
(150 shares of Rs 10 each re-issued for the sum of Rs 1,500) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
900 |
|
|
To Capital Reserve A/c |
|
|
900 |
|
|
(Balance in Share Forfeiture Account of 150 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes
Share Forfeiture of Re-issued Shares
Share Forfeiture (at the time of forfeiture) |
Cr. |
6 |
|
Less: Share Forfeiture (at the time of re-issue) |
Dr. |
NIL |
|
Balance in Share Forfeiture after re-issue |
Cr. |
6 |
per share |
Capital Reserve = Balance in Share Forfeiture after reissue (per share) × Number of Shares Reissued
= Rs 6 × 150
= Rs 900
Page No 7.120:
Question 73:
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (300 × 8) |
Dr. |
|
2,400 |
|
|
To Share Forfeiture A/c (300 × 6) |
|
|
1,800 |
|
|
To Calls-In-Arrears (300 × 2) |
|
|
600 |
|
|
(300 shares of Rs 10 each on which Rs 8 had called, forfeited for non-payment Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,500 |
|
|
To Share Capital A/c |
|
|
1,500 |
|
|
(150 shares of Rs 10 each re-issued for the sum of Rs 1,500) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
900 |
|
|
To Capital Reserve A/c |
|
|
900 |
|
|
(Balance in Share Forfeiture Account of 150 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes
Share Forfeiture of Re-issued Shares
Share Forfeiture (at the time of forfeiture) |
Cr. |
6 |
|
Less: Share Forfeiture (at the time of re-issue) |
Dr. |
NIL |
|
Balance in Share Forfeiture after re-issue |
Cr. |
6 |
per share |
Capital Reserve = Balance in Share Forfeiture after reissue (per share) × Number of Shares Reissued
= Rs 6 × 150
= Rs 900
Answer:
Application |
Rs |
5 |
|
Allotment |
Rs |
3 |
(1+2) |
First and Final Call |
Rs |
4 |
|
|
|
12 |
(10+2) |
Called-up = Application + Allotment
= Rs 5 + 3 (including premium Rs 2)
Book of JCV Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (200×6) |
Dr. |
|
1,200 |
|
|
Securities Premium A/c (200×2) |
Dr. |
|
400 |
|
|
To Share Forfeiture A/c (20×5) |
|
|
1,000 |
|
|
To Calls-in-Arrears A/c (200×3) |
|
|
600 |
|
|
(200 shares of Rs 10 each on which Rs 8 had called (including Rs 2 premium), forfeited for the non-payment of allotment Rs 3 (including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
800 |
|
|
Share Forfeiture A/c |
Dr. |
|
200 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Capital Reserve |
|
|
300 |
|
|
(Amount of share forfeiture of 100 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note
Share Forfeiture of Re-issued Shares
Share Forfeiture (at the time of forfeiture) |
Cr. |
5 |
|
Share Forfeiture (at the time of re-issue) |
Dr. |
2 |
|
Balance in Share Forfeitre (after re-issue) |
Cr. |
3 |
per share |
Capital Reserve = Balance in share forfeiture of re-issued (per share) ×No. of shares re-issued
= Rs 3 Share × 100
= Rs 300
Page No 7.120:
Question 74:
Application |
Rs |
5 |
|
Allotment |
Rs |
3 |
(1+2) |
First and Final Call |
Rs |
4 |
|
|
|
12 |
(10+2) |
Called-up = Application + Allotment
= Rs 5 + 3 (including premium Rs 2)
Book of JCV Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (200×6) |
Dr. |
|
1,200 |
|
|
Securities Premium A/c (200×2) |
Dr. |
|
400 |
|
|
To Share Forfeiture A/c (20×5) |
|
|
1,000 |
|
|
To Calls-in-Arrears A/c (200×3) |
|
|
600 |
|
|
(200 shares of Rs 10 each on which Rs 8 had called (including Rs 2 premium), forfeited for the non-payment of allotment Rs 3 (including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
800 |
|
|
Share Forfeiture A/c |
Dr. |
|
200 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Capital Reserve |
|
|
300 |
|
|
(Amount of share forfeiture of 100 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note
Share Forfeiture of Re-issued Shares
Share Forfeiture (at the time of forfeiture) |
Cr. |
5 |
|
Share Forfeiture (at the time of re-issue) |
Dr. |
2 |
|
Balance in Share Forfeitre (after re-issue) |
Cr. |
3 |
per share |
Capital Reserve = Balance in share forfeiture of re-issued (per share) ×No. of shares re-issued
= Rs 3 Share × 100
= Rs 300
Answer:
Issued and applied capital 10,000 shares of Rs 20 each with Rs 2 premium.
Application and Allotment |
= |
Rs 12 |
(10+2) |
First Call |
= |
Rs 2 |
|
|
|
Rs 14 |
(12+2) Called-up |
Books of A Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Share Application and Allotment A/c |
|
|
1,20,000 |
|
|
(Share Application and Allotment money received for 10,000 shares at Rs 12 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application and Allotment A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
To Securities Premium A/c |
|
|
20,000 |
|
|
(Share Application and Allotment transferred to Share Capital and Securities Premium at Rs 10 and Rs 2 each respectively) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
|
(Share first call due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Share First Call A/c |
|
|
20,000 |
|
|
(Share first call received on 9,500 shares and a holder of 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c (500×12) |
Dr. |
|
6,000 |
|
|
To Share Forfeiture A/c (500×10) |
|
|
5,000 |
|
|
To Calls-in-Arrears A/c (500×2) |
|
|
1,000 |
|
|
(500 shares of Rs 20 each on which Rs 12 paid-up forfeited for the non-payment of Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(500 shares of Rs 20 each re-issued at Rs 16 each fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
3,000 |
|
|
To Capital Reserve A/c |
|
|
3,000 |
|
|
(Balance in Share Forfeiture after re-issued transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Capital Reserve |
= |
Share Forfeiture Cr. – Share Forfeiture Dr. |
|
= |
5,000 – 2,000 |
|
= |
Rs 3,000 |
Page No 7.120:
Question 75:
Issued and applied capital 10,000 shares of Rs 20 each with Rs 2 premium.
Application and Allotment |
= |
Rs 12 |
(10+2) |
First Call |
= |
Rs 2 |
|
|
|
Rs 14 |
(12+2) Called-up |
Books of A Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Share Application and Allotment A/c |
|
|
1,20,000 |
|
|
(Share Application and Allotment money received for 10,000 shares at Rs 12 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application and Allotment A/c |
Dr. |
|
1,20,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
To Securities Premium A/c |
|
|
20,000 |
|
|
(Share Application and Allotment transferred to Share Capital and Securities Premium at Rs 10 and Rs 2 each respectively) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
20,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
|
(Share first call due on 10,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
19,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Share First Call A/c |
|
|
20,000 |
|
|
(Share first call received on 9,500 shares and a holder of 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c (500×12) |
Dr. |
|
6,000 |
|
|
To Share Forfeiture A/c (500×10) |
|
|
5,000 |
|
|
To Calls-in-Arrears A/c (500×2) |
|
|
1,000 |
|
|
(500 shares of Rs 20 each on which Rs 12 paid-up forfeited for the non-payment of Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(500 shares of Rs 20 each re-issued at Rs 16 each fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
3,000 |
|
|
To Capital Reserve A/c |
|
|
3,000 |
|
|
(Balance in Share Forfeiture after re-issued transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Capital Reserve |
= |
Share Forfeiture Cr. – Share Forfeiture Dr. |
|
= |
5,000 – 2,000 |
|
= |
Rs 3,000 |
Answer:
Authorised capital 15,000 shares of 100 each
Issued and applied capital 5,000 shares of Rs 100 each at a premium Rs 5
Application |
= |
Rs 25 |
|
Allotment |
= |
Rs 30 |
(25+5) |
First Call |
= |
Rs 25 |
|
Final Call |
= |
Rs 25 |
|
|
|
105 |
(100+5) |
Books of U.P. Sugar Works Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2004 |
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,25,000 |
|
|
To Share Application A/c |
|
|
1,25,000 |
|
|
(Share application money received for 5,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
Apr. 01 |
Share Application A/c |
Dr. |
|
1,25,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
Apr. 01 |
Share Allotment A/c |
Dr. |
|
1,50,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
To Securities Premium A/c |
|
|
25,000 |
|
|
(Share allotment due on 5,000 shares at Rs 30 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,50,000 |
|
|
To Share Allotment |
|
|
1,50,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Jul. 01 |
Share First Call A/c |
Dr. |
|
1,25,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
(Share first call due on 5,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,25,000 |
|
|
To Share First Call A/c |
|
|
1,25,000 |
|
|
(Share first call money received) |
|
|
|
|
|
|
|
|
|
|
Oct 01 |
Share Final Call A/c |
Dr. |
|
1,25,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
(Share final call due on 5,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,22,500 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,500 |
|
|
To Share Final Call A/c |
|
|
1,25,000 |
|
|
(Share final call Rs 25 each received for 4,900 shares and a holder of 100 share failed to pay it) |
|
|
|
|
|
|
|
|
|
|
Nov. 01 |
Share Capital A/c (100×100) |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c (100×75) |
|
|
7,500 |
|
|
To Calls-in-Arrears A/c (100×25) |
|
|
2,500 |
|
|
(100 shares forfeited for the non-payment of final call) |
|
|
|
|
|
|
|
|
|
Page No 7.121:
Question 76:
Authorised capital 15,000 shares of 100 each
Issued and applied capital 5,000 shares of Rs 100 each at a premium Rs 5
Application |
= |
Rs 25 |
|
Allotment |
= |
Rs 30 |
(25+5) |
First Call |
= |
Rs 25 |
|
Final Call |
= |
Rs 25 |
|
|
|
105 |
(100+5) |
Books of U.P. Sugar Works Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2004 |
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,25,000 |
|
|
To Share Application A/c |
|
|
1,25,000 |
|
|
(Share application money received for 5,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
Apr. 01 |
Share Application A/c |
Dr. |
|
1,25,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
Apr. 01 |
Share Allotment A/c |
Dr. |
|
1,50,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
To Securities Premium A/c |
|
|
25,000 |
|
|
(Share allotment due on 5,000 shares at Rs 30 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,50,000 |
|
|
To Share Allotment |
|
|
1,50,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Jul. 01 |
Share First Call A/c |
Dr. |
|
1,25,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
(Share first call due on 5,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,25,000 |
|
|
To Share First Call A/c |
|
|
1,25,000 |
|
|
(Share first call money received) |
|
|
|
|
|
|
|
|
|
|
Oct 01 |
Share Final Call A/c |
Dr. |
|
1,25,000 |
|
|
To Share Capital A/c |
|
|
1,25,000 |
|
|
(Share final call due on 5,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,22,500 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,500 |
|
|
To Share Final Call A/c |
|
|
1,25,000 |
|
|
(Share final call Rs 25 each received for 4,900 shares and a holder of 100 share failed to pay it) |
|
|
|
|
|
|
|
|
|
|
Nov. 01 |
Share Capital A/c (100×100) |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c (100×75) |
|
|
7,500 |
|
|
To Calls-in-Arrears A/c (100×25) |
|
|
2,500 |
|
|
(100 shares forfeited for the non-payment of final call) |
|
|
|
|
|
|
|
|
|
Answer:
Issued and applied 50,000 equity shares at Rs 10 each at a premium Re 1
Application |
Rs |
2 |
|
Allotment |
Rs |
5 |
(4+1) |
First Call |
Rs |
2 |
|
Final Call |
Rs |
2 |
|
|
Rs |
11 |
(10+1) called-up |
Books of Messrs Accountancy Publication Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Application A/c |
|
|
1,00,000 |
|
|
(Share application received for 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share capital A/c |
|
|
1,00,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
To Securities Premium A/c |
|
|
50,000 |
|
|
(Share allotment due on 50,000 shares at Rs 5 each including Re1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,47,500 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,500 |
|
|
To Equity Share Allotment |
|
|
2,50,000 |
|
|
(Share allotment at Rs 5 each, received on 49,500 shares and holders of 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Calls A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share capital |
|
|
1,00,000 |
|
|
(First call due on 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share first call A/c |
|
|
1,00,000 |
|
|
(First call received on 49,500 shares and 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Shares Capital A/c |
Dr. |
|
5,000 |
|
|
Securities Premium A/c |
Dr. |
|
500 |
|
|
To Share Forfeiture |
|
|
1,000 |
|
|
To Calls-in-Arrears A/c |
|
|
4,500 |
|
|
(500 shares forfeited for the non-payment of Rs 7 including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
99,000 |
|
|
To Equity Share Capital A/c |
|
|
99,000 |
|
|
(Share final call due 49,500 share at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
To Equity Share Final Call A/c |
|
|
99,000 |
|
|
(Share final call money received) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,500 |
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Equity Share Capital A/c |
|
|
5,000 |
|
|
(500 shares of Rs10 each reissued for Rs 9 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Capital Reserve A/c |
|
|
500 |
|
|
(Balance of Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Share Forfeiture Credit |
1,000 |
Less: Share Forfeiture Debit |
500 |
Balance in Share Forfeiture (after re-issue) |
500 |
Capital Reserve = Balance in Share Forfeiture (after re-issue)
= Rs 500
Page No 7.121:
Question 77:
Issued and applied 50,000 equity shares at Rs 10 each at a premium Re 1
Application |
Rs |
2 |
|
Allotment |
Rs |
5 |
(4+1) |
First Call |
Rs |
2 |
|
Final Call |
Rs |
2 |
|
|
Rs |
11 |
(10+1) called-up |
Books of Messrs Accountancy Publication Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Application A/c |
|
|
1,00,000 |
|
|
(Share application received for 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share capital A/c |
|
|
1,00,000 |
|
|
(Share application money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
To Securities Premium A/c |
|
|
50,000 |
|
|
(Share allotment due on 50,000 shares at Rs 5 each including Re1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,47,500 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
2,500 |
|
|
To Equity Share Allotment |
|
|
2,50,000 |
|
|
(Share allotment at Rs 5 each, received on 49,500 shares and holders of 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Calls A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share capital |
|
|
1,00,000 |
|
|
(First call due on 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share first call A/c |
|
|
1,00,000 |
|
|
(First call received on 49,500 shares and 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Shares Capital A/c |
Dr. |
|
5,000 |
|
|
Securities Premium A/c |
Dr. |
|
500 |
|
|
To Share Forfeiture |
|
|
1,000 |
|
|
To Calls-in-Arrears A/c |
|
|
4,500 |
|
|
(500 shares forfeited for the non-payment of Rs 7 including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
99,000 |
|
|
To Equity Share Capital A/c |
|
|
99,000 |
|
|
(Share final call due 49,500 share at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
To Equity Share Final Call A/c |
|
|
99,000 |
|
|
(Share final call money received) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,500 |
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Equity Share Capital A/c |
|
|
5,000 |
|
|
(500 shares of Rs10 each reissued for Rs 9 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Capital Reserve A/c |
|
|
500 |
|
|
(Balance of Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Share Forfeiture Credit |
1,000 |
Less: Share Forfeiture Debit |
500 |
Balance in Share Forfeiture (after re-issue) |
500 |
Capital Reserve = Balance in Share Forfeiture (after re-issue)
= Rs 500
Answer:
Issued and Applied 10,000 Shares at Rs 10 each at a premium of Rs 3 per share
Application |
Rs |
5 |
|
Allotment |
Rs |
5 |
(2+3) |
First and Final Call |
Rs |
3 |
|
|
Rs |
13 |
(10+3) Called-up |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
50,000 |
|
|
To Equity Share Application A/c |
|
|
50,000 |
|
|
(Share application money received for 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
50,000 |
|
|
To Equity Share capital A/c |
|
|
50,000 |
|
|
(Share application money transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
50,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
To Securities Premium |
|
|
30,000 |
|
|
(Share allotment due on 10,000 shares at Rs 5 per share including premium Rs 3) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
49,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Allotment A/c |
|
|
50,000 |
|
|
(All allotment money received except 200 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
30,000 |
|
|
(First and final due on 10,000 shares at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
29,100 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
900 |
|
|
To Equity Share First and Final Calls A/c |
|
|
30,000 |
|
|
(First and final call received on all shares except 300 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
Securities Premium A/c |
Dr. |
|
600 |
|
|
To Share Forfeiture A/c |
|
|
1,000 |
|
|
To Calls-in-Arrears A/c |
|
|
1,600 |
|
|
(200 shares forfeited for the non-payment of Rs 8 per share including Rs 3 premium) |
|
|
|
|
|
|
|
|
|
Page No 7.121:
Question 78:
Issued and Applied 10,000 Shares at Rs 10 each at a premium of Rs 3 per share
Application |
Rs |
5 |
|
Allotment |
Rs |
5 |
(2+3) |
First and Final Call |
Rs |
3 |
|
|
Rs |
13 |
(10+3) Called-up |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
50,000 |
|
|
To Equity Share Application A/c |
|
|
50,000 |
|
|
(Share application money received for 10,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
50,000 |
|
|
To Equity Share capital A/c |
|
|
50,000 |
|
|
(Share application money transferred to Share Capital Account) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
50,000 |
|
|
To Equity Share Capital A/c |
|
|
20,000 |
|
|
To Securities Premium |
|
|
30,000 |
|
|
(Share allotment due on 10,000 shares at Rs 5 per share including premium Rs 3) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
49,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Allotment A/c |
|
|
50,000 |
|
|
(All allotment money received except 200 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
30,000 |
|
|
(First and final due on 10,000 shares at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
29,100 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
900 |
|
|
To Equity Share First and Final Calls A/c |
|
|
30,000 |
|
|
(First and final call received on all shares except 300 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
Securities Premium A/c |
Dr. |
|
600 |
|
|
To Share Forfeiture A/c |
|
|
1,000 |
|
|
To Calls-in-Arrears A/c |
|
|
1,600 |
|
|
(200 shares forfeited for the non-payment of Rs 8 per share including Rs 3 premium) |
|
|
|
|
|
|
|
|
|
Answer:
Issued and applied capital 20,000 shares at Rs 20 each at a premium of Rs 2
Payable as:
Application and Allotment |
Rs |
10 |
|
First Call |
Rs |
4 |
(2+2) |
Final Call |
Rs |
8 |
|
|
|
22 |
(20+2) Called-up |
Books of Jiyaji Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To Share Application and Allotment A/c |
|
|
2,00,000 |
|
|
(Share Application and Allotment money received for 20,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application and Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
(Share Application and Allotment money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
80,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
40,000 |
|
|
(First call due on 20,000 shares at Rs 4 per share including premium Rs 2) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
72,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
8,000 |
|
|
To Equity Share First call |
|
|
80,000 |
|
|
(First call received on 18,000 shares and a holder of 2,000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
1,60,000 |
|
|
To Share Capital A/c |
|
|
1,60,000 |
|
|
(Share Final due on 20,000 shares at Rs 8 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,44,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
16,000 |
|
|
To Share Final Call A/c |
|
|
1,60,000 |
|
|
(Final call received on 18,000 shares and a holder of 2,000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
40,000 |
|
|
Securities Premium A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
20,000 |
|
|
To Calls-in-Arrears A/c |
|
|
24,000 |
|
|
(2,000 shares of Rs 20 each forfeited for non-payment of Rs 12 per share including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
12,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(2,000 shares of Rs 20 each re-issued at Rs 14 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
8,000 |
|
|
To Capital Reserve A/c |
|
|
8,000 |
|
|
(Balance of in Share Forfeiture Account after re-issue of all forfeited shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture |
Cr. |
20,000 |
Share Forfeiture |
Dr. |
12,000 |
Balance in Share Forfeiture (after re-issue) |
Rs |
8,000 |
Capital Reserve = Balance in Share Forfeiture (after re-issue)
= Rs 8,000
Page No 7.121:
Question 79:
Issued and applied capital 20,000 shares at Rs 20 each at a premium of Rs 2
Payable as:
Application and Allotment |
Rs |
10 |
|
First Call |
Rs |
4 |
(2+2) |
Final Call |
Rs |
8 |
|
|
|
22 |
(20+2) Called-up |
Books of Jiyaji Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
To Share Application and Allotment A/c |
|
|
2,00,000 |
|
|
(Share Application and Allotment money received for 20,000 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application and Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
(Share Application and Allotment money transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
80,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
40,000 |
|
|
(First call due on 20,000 shares at Rs 4 per share including premium Rs 2) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
72,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
8,000 |
|
|
To Equity Share First call |
|
|
80,000 |
|
|
(First call received on 18,000 shares and a holder of 2,000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
1,60,000 |
|
|
To Share Capital A/c |
|
|
1,60,000 |
|
|
(Share Final due on 20,000 shares at Rs 8 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,44,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
16,000 |
|
|
To Share Final Call A/c |
|
|
1,60,000 |
|
|
(Final call received on 18,000 shares and a holder of 2,000 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
40,000 |
|
|
Securities Premium A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
20,000 |
|
|
To Calls-in-Arrears A/c |
|
|
24,000 |
|
|
(2,000 shares of Rs 20 each forfeited for non-payment of Rs 12 per share including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
12,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(2,000 shares of Rs 20 each re-issued at Rs 14 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
8,000 |
|
|
To Capital Reserve A/c |
|
|
8,000 |
|
|
(Balance of in Share Forfeiture Account after re-issue of all forfeited shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture |
Cr. |
20,000 |
Share Forfeiture |
Dr. |
12,000 |
Balance in Share Forfeiture (after re-issue) |
Rs |
8,000 |
Capital Reserve = Balance in Share Forfeiture (after re-issue)
= Rs 8,000
Answer:
Issued and Applied 20,000 equity shares of Rs 10 each at a premium of Rs 5
Application |
Rs |
7 |
(2+5) |
Allotment |
Rs |
5 |
|
First and Final Call |
Rs |
3 |
|
|
|
15 |
(10+5) per share |
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
140,000 |
|
|
To Equity Share Application A/c |
|
|
140,000 |
|
|
(Share application money received for 20,000 shares at Rs 7 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(Share application money of 20,000 shares transferred Share Capital at Rs25 per share and Securities Premium at Rs 5 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 20,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,00,000 |
|
|
(Share allotment received on 19,800 shares and a holder of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final call A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
(First and final call due on 20,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
59,400 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
600 |
|
|
To Equity Share First and Final Call A/c |
|
|
60,000 |
|
|
(First and final call received on 19,800 shares and a holder of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c (Rs 2 × 200 Shares) |
|
|
400 |
|
|
To Calls-in-Arrears A/c |
|
|
16,00 |
|
|
(200 shares of Rs 10 each forfeited for the non-payment amount due Rs 8 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,600 |
|
|
To Equity Share Capital A/c |
|
|
1,600 |
|
|
(160 shares of Rs 10 each re-issued for the sum of Rs 1,600) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
320 |
|
|
To Capital Reserve A/c |
|
|
320 |
|
|
(Balance in Share Forfeiture of 160 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,99,680 |
b. Reserves and Surplus |
2 |
1,00,320 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
3,00,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
3,00,000 |
Total |
|
3,00,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
…… Equity Shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
20,000 Equity Shares of Rs 10 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
19,960 Equity Shares of Rs 10 each |
1,99,600 |
|
|
Add: Shares Forfeited (40 shares × Rs 2) |
80 |
1,99,680 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Securities Premium |
1,00,000 |
|
|
Capital Reserve |
320 |
1,00,320 |
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
3,00,000 |
|
|
|
|
Working Notes: 1. Share Forfeiture of Re-issued Shares
Share Forfeiture (at the time of forfeiture after deducting premium) |
Cr. |
2 |
(7 – 5) |
Less: Share Forfeiture (at the time of re-issue) |
Dr. |
NIL |
|
Balance in Share Forfeiture after re-issue |
Cr. |
2 |
per share |
Capital Reserve = Balance in Share Forfeiture after reissue (per share) × Number of Shares Re-issued = Rs 2 × 160 = Rs 320
2. Calculation of balance remaining in Share Forfeiture Account (to be shown in the Balance Sheet)
Share Forfeiture (at the time of forfeiture of 200 shares) |
= |
400 |
Debit |
Less: Share Forfeiture (at the time re-issue of 160 shares) |
= |
(320) |
Credit |
Balance in Share Forfeiture Account (for 40 shares which are not re-issued) |
= |
Rs 80 |
Debit |
Page No 7.121:
Question 80:
Issued and Applied 20,000 equity shares of Rs 10 each at a premium of Rs 5
Application |
Rs |
7 |
(2+5) |
Allotment |
Rs |
5 |
|
First and Final Call |
Rs |
3 |
|
|
|
15 |
(10+5) per share |
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
140,000 |
|
|
To Equity Share Application A/c |
|
|
140,000 |
|
|
(Share application money received for 20,000 shares at Rs 7 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,40,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
1,00,000 |
|
|
(Share application money of 20,000 shares transferred Share Capital at Rs25 per share and Securities Premium at Rs 5 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(Share allotment due on 20,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,00,000 |
|
|
(Share allotment received on 19,800 shares and a holder of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final call A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
(First and final call due on 20,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
59,400 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
600 |
|
|
To Equity Share First and Final Call A/c |
|
|
60,000 |
|
|
(First and final call received on 19,800 shares and a holder of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c (Rs 2 × 200 Shares) |
|
|
400 |
|
|
To Calls-in-Arrears A/c |
|
|
16,00 |
|
|
(200 shares of Rs 10 each forfeited for the non-payment amount due Rs 8 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,600 |
|
|
To Equity Share Capital A/c |
|
|
1,600 |
|
|
(160 shares of Rs 10 each re-issued for the sum of Rs 1,600) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
320 |
|
|
To Capital Reserve A/c |
|
|
320 |
|
|
(Balance in Share Forfeiture of 160 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
A Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,99,680 |
b. Reserves and Surplus |
2 |
1,00,320 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
3,00,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
3,00,000 |
Total |
|
3,00,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
…… Equity Shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
20,000 Equity Shares of Rs 10 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
19,960 Equity Shares of Rs 10 each |
1,99,600 |
|
|
Add: Shares Forfeited (40 shares × Rs 2) |
80 |
1,99,680 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Securities Premium |
1,00,000 |
|
|
Capital Reserve |
320 |
1,00,320 |
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
3,00,000 |
|
|
|
|
Working Notes: 1. Share Forfeiture of Re-issued Shares
Share Forfeiture (at the time of forfeiture after deducting premium) |
Cr. |
2 |
(7 – 5) |
Less: Share Forfeiture (at the time of re-issue) |
Dr. |
NIL |
|
Balance in Share Forfeiture after re-issue |
Cr. |
2 |
per share |
Capital Reserve = Balance in Share Forfeiture after reissue (per share) × Number of Shares Re-issued = Rs 2 × 160 = Rs 320
2. Calculation of balance remaining in Share Forfeiture Account (to be shown in the Balance Sheet)
Share Forfeiture (at the time of forfeiture of 200 shares) |
= |
400 |
Debit |
Less: Share Forfeiture (at the time re-issue of 160 shares) |
= |
(320) |
Credit |
Balance in Share Forfeiture Account (for 40 shares which are not re-issued) |
= |
Rs 80 |
Debit |
Answer:
Authorised Capital: 2,000 equity shares at Rs 100 each
Issued Capital:
1,000 equity shares at Rs 100 each to the vendor of the building
1,000 equity shares at Rs 100 each with a premium Rs 5 to the public
Applied by public: 900 equity shares
Payable by public as:
Application |
Rs |
10 |
|
Allotment |
Rs |
25 |
(20+5) |
First Call |
Rs |
40 |
|
Called-up |
|
75 |
(70+5) |
Final Call |
Rs |
30 |
|
|
Rs |
105 |
(100+5) |
Books of Kamal Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Building A/c |
Dr. |
|
1,00,000 |
|
|
To Vendor A/c |
|
|
1,00,000 |
|
|
(Building purchased from the vendor) |
|
|
|
|
|
|
|
|
|
|
|
Vendor A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(1,000 equity shares of Rs 100 each issued to the vendor of building) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,000 |
|
|
To Equity Share Application A/c |
|
|
9,000 |
|
|
(Share application money received for 900 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
9,000 |
|
|
To Equity Share Capital |
|
|
9,000 |
|
|
(Share application money of 900 shares at Rs 10 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
22,500 |
|
|
To Securities Premium |
|
|
4,500 |
|
|
To Equity Share Capital A/c |
|
|
18,000 |
|
|
(Share allotment due on 900 shares at Rs 25 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
22,500 |
|
|
To Equity Share Allotment A/c |
|
|
22,500 |
|
|
(Share allotment money received on 900 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
36,000 |
|
|
To Equity Share Capital A/c |
|
|
36,000 |
|
|
(First call due on 900 shares at Rs 40 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
32,000 |
|
|
Calls-in-Arrears A/c |
|
4,000 |
|
|
|
To Equity Share First-call A/c |
|
|
36,000 |
|
|
(First call received on 800 shares and a holder of 100 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
7,000 |
|
|
To Share Forfeiture A/c |
|
|
3,000 |
|
|
To Calls-in-Arrears A/c |
|
|
4,000 |
|
|
(100 shares of Rs 100 each, Rs 70 called-up forfeited for the non-payment of Rs 40) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Capital A/c |
|
|
7,000 |
|
|
(100 shares of Rs 100 each, re-issued at Rs 60 per share as Rs 70 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Capital Reserve A/c |
|
|
2,000 |
|
|
(Balance in Share Forfeiture the Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Kamal Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,63,000 |
b. Reserves and Surplus |
2 |
6,500 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,69,500 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Fixed Assets |
|
|
i. Tangible Assets |
3 |
1,00,000 |
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
4 |
69,500 |
Total |
|
1,69,500 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
2,000 Equity Shares of Rs 100 each |
2,00,000 |
|
|
Issued Share Capital |
|
|
|
2,000 Equity Shares of Rs 100 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,000 Equity Shares of Rs 100 each(for consideration other than cash) |
1,00,000 |
|
|
900 Equity Shares of Rs 100 each, Rs 70 Called-up |
63,000 |
1,63,000 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
4,500 |
|
|
Capital Reserve |
2,000 |
6,500 |
|
|
|||
3 |
Tangible Assets |
|
|
Building |
1,00,000 |
||
|
|||
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
69,500 |
|
|
|
|
Working Notes:
Share Forfeiture (at the time of forfeiture) |
3,000 |
Credit |
Less: Share Forfeiture (at the time of re-issue) |
1,000 |
Debit |
Balance in Share Forfeiture (after re-issue) |
2,000 |
Credit |
Capital Reserve = Balance in Share Forfeiture (after re-issue) = Rs 2,000
Page No 7.122:
Question 81:
Authorised Capital: 2,000 equity shares at Rs 100 each
Issued Capital:
1,000 equity shares at Rs 100 each to the vendor of the building
1,000 equity shares at Rs 100 each with a premium Rs 5 to the public
Applied by public: 900 equity shares
Payable by public as:
Application |
Rs |
10 |
|
Allotment |
Rs |
25 |
(20+5) |
First Call |
Rs |
40 |
|
Called-up |
|
75 |
(70+5) |
Final Call |
Rs |
30 |
|
|
Rs |
105 |
(100+5) |
Books of Kamal Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Building A/c |
Dr. |
|
1,00,000 |
|
|
To Vendor A/c |
|
|
1,00,000 |
|
|
(Building purchased from the vendor) |
|
|
|
|
|
|
|
|
|
|
|
Vendor A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(1,000 equity shares of Rs 100 each issued to the vendor of building) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,000 |
|
|
To Equity Share Application A/c |
|
|
9,000 |
|
|
(Share application money received for 900 shares at Rs 10 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
9,000 |
|
|
To Equity Share Capital |
|
|
9,000 |
|
|
(Share application money of 900 shares at Rs 10 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
22,500 |
|
|
To Securities Premium |
|
|
4,500 |
|
|
To Equity Share Capital A/c |
|
|
18,000 |
|
|
(Share allotment due on 900 shares at Rs 25 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
22,500 |
|
|
To Equity Share Allotment A/c |
|
|
22,500 |
|
|
(Share allotment money received on 900 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
36,000 |
|
|
To Equity Share Capital A/c |
|
|
36,000 |
|
|
(First call due on 900 shares at Rs 40 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
32,000 |
|
|
Calls-in-Arrears A/c |
|
4,000 |
|
|
|
To Equity Share First-call A/c |
|
|
36,000 |
|
|
(First call received on 800 shares and a holder of 100 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
7,000 |
|
|
To Share Forfeiture A/c |
|
|
3,000 |
|
|
To Calls-in-Arrears A/c |
|
|
4,000 |
|
|
(100 shares of Rs 100 each, Rs 70 called-up forfeited for the non-payment of Rs 40) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Equity Share Capital A/c |
|
|
7,000 |
|
|
(100 shares of Rs 100 each, re-issued at Rs 60 per share as Rs 70 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Capital Reserve A/c |
|
|
2,000 |
|
|
(Balance in Share Forfeiture the Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Kamal Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
1,63,000 |
b. Reserves and Surplus |
2 |
6,500 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
1,69,500 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Fixed Assets |
|
|
i. Tangible Assets |
3 |
1,00,000 |
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
4 |
69,500 |
Total |
|
1,69,500 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
2,000 Equity Shares of Rs 100 each |
2,00,000 |
|
|
Issued Share Capital |
|
|
|
2,000 Equity Shares of Rs 100 each |
2,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,000 Equity Shares of Rs 100 each(for consideration other than cash) |
1,00,000 |
|
|
900 Equity Shares of Rs 100 each, Rs 70 Called-up |
63,000 |
1,63,000 |
|
|
|
|
2 |
Reserves and Surplus |
|
|
Securities Premium |
4,500 |
|
|
Capital Reserve |
2,000 |
6,500 |
|
|
|||
3 |
Tangible Assets |
|
|
Building |
1,00,000 |
||
|
|||
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
69,500 |
|
|
|
|
Working Notes:
Share Forfeiture (at the time of forfeiture) |
3,000 |
Credit |
Less: Share Forfeiture (at the time of re-issue) |
1,000 |
Debit |
Balance in Share Forfeiture (after re-issue) |
2,000 |
Credit |
Capital Reserve = Balance in Share Forfeiture (after re-issue) = Rs 2,000
Answer:
Authorised capital 20,000 shares of 10 each
Issued and applied 20,000 shares of Rs 10 each at a premium Rs 2
Payable as:
Application |
= |
Rs 5 |
(3+2) |
Allotment |
= |
Rs 4 |
|
First and Final Call |
= |
Rs 3 |
|
|
|
Rs 12 |
(10+2) |
Books of Krishna & Co. Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Application A/c |
|
|
1,00,000 |
|
|
(Share application money received for 20,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Securities Premium A/c |
|
|
40,000 |
|
|
(Share application of 20,000 shares transferred to Shares Capital at Rs 3 per share and Securities Premium and Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 20,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
79,200 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
800 |
|
|
To Equity Share Allotment A/c |
|
|
80,000 |
|
|
(Share allotment received on 19,800 shares and holders of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share first and final call A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
(First and Final call due on 20,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
58,500 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,500 |
|
|
To Equity Share First And Final Call A/c |
|
|
60,000 |
|
|
(Share first and final call of Rs 3 each received on 19,500 shares and holders of 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
1,400 |
|
|
(200 shares of Rs 10 each forfeited for the non-payment of allotment Rs 4 and call Rs 7 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
3,000 |
|
|
To Share Forfeiture A/c |
|
|
2,100 |
|
|
To Calls-in-Arrears A/c |
|
|
900 |
|
|
(300 shares of Rs 10 each forfeited for the non-payment of call money Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,200 |
|
|
To Share Capital |
|
|
4,000 |
|
|
(400 shares of Rs 10 each re-issued at Rs 7 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
800 |
|
|
To Capital Reserve A/c |
|
|
800 |
|
|
(Balance in share forfeiture of 400 shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Krishna & Co Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholdersâ Funds |
|
|
a. Share Capital |
1 |
1,99,700 |
b. Reserves and Surplus |
2 |
40,800 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,40,500 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,40,500 |
Total |
|
2,40,500 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
||
1 |
Share Capital |
|
||
|
Authorised Share Capital |
|
||
|
20,000 Equity Shares of Rs 10 each |
2,00,000 |
||
|
Issued Share Capital |
|
||
|
20,000 Equity Shares of Rs 10 each |
2,00,000 |
||
|
Subscribed, Called-up and Paid-up Share Capital |
|
||
|
19,900 Equity Shares of Rs 10 each |
1,99,000 |
||
|
Add: Shares Forfeited (100 shares à Rs 7) |
700 |
1,99,700 |
|
|
||||
2 |
Reserves and Surplus |
|
||
|
Securities Premium |
40,000 |
|
|
|
Capital Reserve |
800 |
40,800 |
|
|
|
|
||
3 |
Cash and Cash Equivalents |
|
||
|
Cash at Bank |
2,40,500 |
||
|
|
|
Working Notes:
1. |
Capital Reserve of 200 shares on which only application received |
||
|
Share Forfeiture Cr. |
3 |
per share (excluding premium) |
|
Share Forfeiture Dr. |
3 |
per share |
|
Balance of Share Forfeiture |
NIL |
|
2. |
Capital Reserve of 200 shares on which application and allotment received |
||
|
Share Forfeiture Cr. |
Rs 7 |
per share (excluding premium) |
|
Share Forfeiture Dr. |
Rs 3 |
per share |
|
Balance in Share Forfeiture |
Rs 4 |
per share |
Capital Reserve |
= |
200 Shares à Balance of Share Forfeiture (per share) |
|
= |
200 Ã 4 |
|
= |
Rs 800 |
Page No 7.122:
Question 82:
Authorised capital 20,000 shares of 10 each
Issued and applied 20,000 shares of Rs 10 each at a premium Rs 2
Payable as:
Application |
= |
Rs 5 |
(3+2) |
Allotment |
= |
Rs 4 |
|
First and Final Call |
= |
Rs 3 |
|
|
|
Rs 12 |
(10+2) |
Books of Krishna & Co. Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Application A/c |
|
|
1,00,000 |
|
|
(Share application money received for 20,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Securities Premium A/c |
|
|
40,000 |
|
|
(Share application of 20,000 shares transferred to Shares Capital at Rs 3 per share and Securities Premium and Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
(Share allotment due on 20,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
79,200 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
800 |
|
|
To Equity Share Allotment A/c |
|
|
80,000 |
|
|
(Share allotment received on 19,800 shares and holders of 200 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share first and final call A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
(First and Final call due on 20,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
58,500 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
1,500 |
|
|
To Equity Share First And Final Call A/c |
|
|
60,000 |
|
|
(Share first and final call of Rs 3 each received on 19,500 shares and holders of 500 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
1,400 |
|
|
(200 shares of Rs 10 each forfeited for the non-payment of allotment Rs 4 and call Rs 7 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
3,000 |
|
|
To Share Forfeiture A/c |
|
|
2,100 |
|
|
To Calls-in-Arrears A/c |
|
|
900 |
|
|
(300 shares of Rs 10 each forfeited for the non-payment of call money Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,200 |
|
|
To Share Capital |
|
|
4,000 |
|
|
(400 shares of Rs 10 each re-issued at Rs 7 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
800 |
|
|
To Capital Reserve A/c |
|
|
800 |
|
|
(Balance in share forfeiture of 400 shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Krishna & Co Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholdersâ Funds |
|
|
a. Share Capital |
1 |
1,99,700 |
b. Reserves and Surplus |
2 |
40,800 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
2,40,500 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
2,40,500 |
Total |
|
2,40,500 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
||
1 |
Share Capital |
|
||
|
Authorised Share Capital |
|
||
|
20,000 Equity Shares of Rs 10 each |
2,00,000 |
||
|
Issued Share Capital |
|
||
|
20,000 Equity Shares of Rs 10 each |
2,00,000 |
||
|
Subscribed, Called-up and Paid-up Share Capital |
|
||
|
19,900 Equity Shares of Rs 10 each |
1,99,000 |
||
|
Add: Shares Forfeited (100 shares à Rs 7) |
700 |
1,99,700 |
|
|
||||
2 |
Reserves and Surplus |
|
||
|
Securities Premium |
40,000 |
|
|
|
Capital Reserve |
800 |
40,800 |
|
|
|
|
||
3 |
Cash and Cash Equivalents |
|
||
|
Cash at Bank |
2,40,500 |
||
|
|
|
Working Notes:
1. |
Capital Reserve of 200 shares on which only application received |
||
|
Share Forfeiture Cr. |
3 |
per share (excluding premium) |
|
Share Forfeiture Dr. |
3 |
per share |
|
Balance of Share Forfeiture |
NIL |
|
2. |
Capital Reserve of 200 shares on which application and allotment received |
||
|
Share Forfeiture Cr. |
Rs 7 |
per share (excluding premium) |
|
Share Forfeiture Dr. |
Rs 3 |
per share |
|
Balance in Share Forfeiture |
Rs 4 |
per share |
Capital Reserve |
= |
200 Shares à Balance of Share Forfeiture (per share) |
|
= |
200 Ã 4 |
|
= |
Rs 800 |
Answer:
Allotment made as follows:
Applied |
|
Allotted |
10,000 |
â |
NIL |
15,000 |
â |
10,000 |
10,000 |
â |
10,000 |
35,000 |
|
20,000 |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Equity Share Application A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,00,000 |
|
|
(Share application money of 20,000 shares at Rs 20 each transferred to Share Capital and Rs 1,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Capital A/c |
|
|
6,00,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
(Share allotment due on 20,000 shares at Rs 40 each including premium Rs 10) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(First call due on 20,000 at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
12,500 |
|
|
To Equity Share First Call A/c |
|
|
12,500 |
|
|
(First call money of 500 shares at Rs 25 each transferred to Calls-in-Arrears Account on account of non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(Share Final call due on 20,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
12,500 |
|
|
To Equity Share Final Call A/c |
|
|
12,500 |
|
|
(Final call money of 500 shares at Rs 25 each transferred to Calls-in-Arrears Account on account of non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
50,000 |
|
|
To Share Forfeiture A/c |
|
|
25,000 |
|
|
To Calls-in-Arrears A/c |
|
|
25,000 |
|
|
(500 shares of Rs 100 each forfeited for non-payment of Rs 50 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Equity Share capital A/c |
|
|
4,000 |
|
|
(Loss on re-issue of 200 shares charged from Shares Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,000 |
|
|
To Capital Reserve A/c |
|
|
6,000 |
|
|
(Balance of 200 shares re-issued in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
Share Issue Expenses A/c Dr. | 10,000 | ||||
To Bank A/c | 10,000 | ||||
(Share issue expenses paid) | |||||
|
|
|
|
|
|
Cash Book |
|
|||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share App. |
|
7,00,000 |
|
Equity Share App. |
|
2,00,000 |
|
Equity Share Allotment |
|
7,00,000 |
|
Share Issue Expenses A/c |
|
10,000 |
|
Equity Share First Call |
|
4,87,500 |
|
|
|
|
|
Equity Share Final Call |
|
4,87,500 |
|
|
|
|
|
Equity Share Capital |
|
16,000 |
|
Balance c/d |
|
21,81,000 |
|
|
|
23,91,000 |
|
|
|
23,91,000 |
|
|
|
|
|
|
|
|
Posting in the Company's Balance Sheet
Balance Sheet
|
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities | ||
1. Shareholdersâ Funds |
||
a. Share Capital |
1 |
19,85,000 |
b. Reserves and Surplus |
2 |
2,06,000 |
2. Non-Current Liabilities |
||
|
|
|
3. Current Liabilities |
|
|
|
|
|
|
|
|
Total |
|
21,91,000 |
|
|
|
II Assets |
|
|
1. Non-Current Assets |
|
|
|
|
|
|
|
|
|
|
|
c. Other Non-Current Assets
|
|
|
Unamortised Share Issue Expenses
|
3 |
10,000 |
2. Current Assets |
|
|
|
|
|
|
|
|
|
4 |
21,81,000 |
|
|
|
Total |
|
21,91,000 |
|
|
NOTES TO ACCOUNTS |
||||
Note No. |
Particulars |
Amount (Rs) |
||
1 |
Share Capital |
|
||
|
Authorised Share Capital |
|
||
|
â¦... equity shares of Rs 100 each |
- |
||
|
Issued Share Capital |
|
||
|
20,000 equity shares of Rs 100 each |
20,00,000 |
||
|
Subscribed, Called up and Paid up Share Capital |
|
||
|
19,700 equity Shares of Rs 100 each |
19,70,000 |
|
|
|
Add: Shares Forfeited (300 shares x Rs 50) |
15,000 |
19,85,000 |
|
|
|
19,85,000 |
||
2 |
Reserves and Surplus |
|
||
|
Securities Premium |
2,00,000 |
|
|
|
Capital Reserve |
6,000 |
2,06,000 |
|
|
|
21,91,000 |
||
|
|
|
||
3 |
Other Non-Current Assets |
|
||
|
Unamortised Share Issue Expenses |
10,000 |
||
4 |
Cash and Cash Equivalents |
|
||
|
Cash at Bank |
21,81,000 |
||
|
|
21,91,000 |
Working Notes:
1. Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 50 |
per share (excluding premium) |
Less: Share Forfeiture |
Dr. |
Rs 20 |
per share |
Balance in Share Forfeiture |
Rs 30 |
per share |
Capital Reserve |
= |
Balance in Share Forfeiture (per share) Ã Number of shares re-issued |
|
= |
Rs 30 Ã 200 |
|
= |
Rs 600 |
Page No 7.122:
Question 83:
Allotment made as follows:
Applied |
|
Allotted |
10,000 |
â |
NIL |
15,000 |
â |
10,000 |
10,000 |
â |
10,000 |
35,000 |
|
20,000 |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Equity Share Application A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,00,000 |
|
|
(Share application money of 20,000 shares at Rs 20 each transferred to Share Capital and Rs 1,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Capital A/c |
|
|
6,00,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
(Share allotment due on 20,000 shares at Rs 40 each including premium Rs 10) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(First call due on 20,000 at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
12,500 |
|
|
To Equity Share First Call A/c |
|
|
12,500 |
|
|
(First call money of 500 shares at Rs 25 each transferred to Calls-in-Arrears Account on account of non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(Share Final call due on 20,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
12,500 |
|
|
To Equity Share Final Call A/c |
|
|
12,500 |
|
|
(Final call money of 500 shares at Rs 25 each transferred to Calls-in-Arrears Account on account of non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
50,000 |
|
|
To Share Forfeiture A/c |
|
|
25,000 |
|
|
To Calls-in-Arrears A/c |
|
|
25,000 |
|
|
(500 shares of Rs 100 each forfeited for non-payment of Rs 50 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Equity Share capital A/c |
|
|
4,000 |
|
|
(Loss on re-issue of 200 shares charged from Shares Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,000 |
|
|
To Capital Reserve A/c |
|
|
6,000 |
|
|
(Balance of 200 shares re-issued in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
Share Issue Expenses A/c Dr. | 10,000 | ||||
To Bank A/c | 10,000 | ||||
(Share issue expenses paid) | |||||
|
|
|
|
|
|
Cash Book |
|
|||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share App. |
|
7,00,000 |
|
Equity Share App. |
|
2,00,000 |
|
Equity Share Allotment |
|
7,00,000 |
|
Share Issue Expenses A/c |
|
10,000 |
|
Equity Share First Call |
|
4,87,500 |
|
|
|
|
|
Equity Share Final Call |
|
4,87,500 |
|
|
|
|
|
Equity Share Capital |
|
16,000 |
|
Balance c/d |
|
21,81,000 |
|
|
|
23,91,000 |
|
|
|
23,91,000 |
|
|
|
|
|
|
|
|
Posting in the Company's Balance Sheet
Balance Sheet
|
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities | ||
1. Shareholdersâ Funds |
||
a. Share Capital |
1 |
19,85,000 |
b. Reserves and Surplus |
2 |
2,06,000 |
2. Non-Current Liabilities |
||
|
|
|
3. Current Liabilities |
|
|
|
|
|
|
|
|
Total |
|
21,91,000 |
|
|
|
II Assets |
|
|
1. Non-Current Assets |
|
|
|
|
|
|
|
|
|
|
|
c. Other Non-Current Assets
|
|
|
Unamortised Share Issue Expenses
|
3 |
10,000 |
2. Current Assets |
|
|
|
|
|
|
|
|
|
4 |
21,81,000 |
|
|
|
Total |
|
21,91,000 |
|
|
NOTES TO ACCOUNTS |
||||
Note No. |
Particulars |
Amount (Rs) |
||
1 |
Share Capital |
|
||
|
Authorised Share Capital |
|
||
|
â¦... equity shares of Rs 100 each |
- |
||
|
Issued Share Capital |
|
||
|
20,000 equity shares of Rs 100 each |
20,00,000 |
||
|
Subscribed, Called up and Paid up Share Capital |
|
||
|
19,700 equity Shares of Rs 100 each |
19,70,000 |
|
|
|
Add: Shares Forfeited (300 shares x Rs 50) |
15,000 |
19,85,000 |
|
|
|
19,85,000 |
||
2 |
Reserves and Surplus |
|
||
|
Securities Premium |
2,00,000 |
|
|
|
Capital Reserve |
6,000 |
2,06,000 |
|
|
|
21,91,000 |
||
|
|
|
||
3 |
Other Non-Current Assets |
|
||
|
Unamortised Share Issue Expenses |
10,000 |
||
4 |
Cash and Cash Equivalents |
|
||
|
Cash at Bank |
21,81,000 |
||
|
|
21,91,000 |
Working Notes:
1. Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 50 |
per share (excluding premium) |
Less: Share Forfeiture |
Dr. |
Rs 20 |
per share |
Balance in Share Forfeiture |
Rs 30 |
per share |
Capital Reserve |
= |
Balance in Share Forfeiture (per share) Ã Number of shares re-issued |
|
= |
Rs 30 Ã 200 |
|
= |
Rs 600 |
Answer:
In the Books of Gupta Ltd. Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Bank A/c |
Dr. |
|
2,70,000 |
|
|
|
To Equity Share Application A/c |
|
|
|
2,70,000 |
|
|
(Share Application money received for 27,000 shares at Rs 10 per share) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Application A/c |
Dr. |
|
2,70,000 |
|
|
|
To Equity Share Capital A/c (27,000 shares × 2) |
|
|
|
54,000 |
|
|
To Securities Premium A/c (27,000 shares × 8) |
|
|
|
2,16,000 |
|
|
(Share Application money adjusted) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Allotment A/c (27,000 shares × 12) |
Dr. |
|
3,24,000 |
|
|
|
To Equity Share Capital A/c (27,000 shares × 3) |
|
|
|
81,000 |
|
|
To Securities Premium A/c (27,000 shares × 9) |
|
|
|
2,43,000 |
|
|
(Share Allotment money due on 27,000 shares at Rs 12 each including Rs 9 premium) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,88,000 |
|
|
|
To Equity Share Allotment A/c |
|
|
|
2,88,000 |
|
|
(Share Allotment money received on 24,000 shares) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share First and Final Call A/c (27,000 shares × 18) |
Dr. |
|
4,86,000 |
|
|
|
To Equity Share Capital A/c (27,000 shares × 5) |
|
|
|
1,35,000 |
|
|
To Securities Premium A/c (27,000 shares × 13) |
|
|
|
3,51,000 |
|
|
(Share First and Final Call money due) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,96,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
|
3,96,000 |
|
|
(Share Final Call money received on all shares except 5,000 shares) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Capital A/c (5,000 shares × 10) |
Dr. |
|
50,000 |
|
|
|
Securities Premium A/c (66,000 + 26,000) |
Dr. |
|
92,000 |
|
|
|
To Equity Share Forfeiture A/c |
|
|
|
16,000 |
|
|
To Equity Share Allotment A/c (3,000 shares × 12) |
|
|
|
36,000 |
|
|
To Equity Share First and Final Call A/c (5,000 shares × 18) |
|
|
|
90,000 |
|
|
(5,000 shares of Rs 10 each forfeited for the non-payment of allotment on 3,000 shares and final call on 5,000 shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
68,000 |
|
|
|
To Equity Share Capital A/c |
|
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
|
28,000 |
|
|
(4,000 shares re-issued at a premium of Rs 17) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Forfeiture A/c |
Dr. |
|
14,000 |
|
|
|
To Capital Reserve A/c |
|
|
|
14,000 |
|
|
(Profits on re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
||
Working Notes:
WN1 Computation of Amount Unpaid on Shares
i) Shares of Shiva
ii) Shares of Girdhar
WN2 Computation of Amount forfeited:
i) Shiva
Amount Forfeited = Application
= 3,000×2 = 6,000
ii) Girdhar
Amount Forfeited = Application + Allotment
= (2,000×2) + (2,000×3) = 10,000
Total Amount Forfeited = 6,0000 + 10,000 = 16,000
WN3 Computation of Capital Reserve:
∴ Capital Reserve = 4,000 + 10,000 = Rs 14,000
Page No 7.122:
Question 84:
In the Books of Gupta Ltd. Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Bank A/c |
Dr. |
|
2,70,000 |
|
|
|
To Equity Share Application A/c |
|
|
|
2,70,000 |
|
|
(Share Application money received for 27,000 shares at Rs 10 per share) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Application A/c |
Dr. |
|
2,70,000 |
|
|
|
To Equity Share Capital A/c (27,000 shares × 2) |
|
|
|
54,000 |
|
|
To Securities Premium A/c (27,000 shares × 8) |
|
|
|
2,16,000 |
|
|
(Share Application money adjusted) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Allotment A/c (27,000 shares × 12) |
Dr. |
|
3,24,000 |
|
|
|
To Equity Share Capital A/c (27,000 shares × 3) |
|
|
|
81,000 |
|
|
To Securities Premium A/c (27,000 shares × 9) |
|
|
|
2,43,000 |
|
|
(Share Allotment money due on 27,000 shares at Rs 12 each including Rs 9 premium) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,88,000 |
|
|
|
To Equity Share Allotment A/c |
|
|
|
2,88,000 |
|
|
(Share Allotment money received on 24,000 shares) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share First and Final Call A/c (27,000 shares × 18) |
Dr. |
|
4,86,000 |
|
|
|
To Equity Share Capital A/c (27,000 shares × 5) |
|
|
|
1,35,000 |
|
|
To Securities Premium A/c (27,000 shares × 13) |
|
|
|
3,51,000 |
|
|
(Share First and Final Call money due) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,96,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
|
3,96,000 |
|
|
(Share Final Call money received on all shares except 5,000 shares) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Capital A/c (5,000 shares × 10) |
Dr. |
|
50,000 |
|
|
|
Securities Premium A/c (66,000 + 26,000) |
Dr. |
|
92,000 |
|
|
|
To Equity Share Forfeiture A/c |
|
|
|
16,000 |
|
|
To Equity Share Allotment A/c (3,000 shares × 12) |
|
|
|
36,000 |
|
|
To Equity Share First and Final Call A/c (5,000 shares × 18) |
|
|
|
90,000 |
|
|
(5,000 shares of Rs 10 each forfeited for the non-payment of allotment on 3,000 shares and final call on 5,000 shares) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
68,000 |
|
|
|
To Equity Share Capital A/c |
|
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
|
28,000 |
|
|
(4,000 shares re-issued at a premium of Rs 17) |
|
|
|
||
|
|
|
|
|
||
|
Equity Share Forfeiture A/c |
Dr. |
|
14,000 |
|
|
|
To Capital Reserve A/c |
|
|
|
14,000 |
|
|
(Profits on re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
||
Working Notes:
WN1 Computation of Amount Unpaid on Shares
i) Shares of Shiva
ii) Shares of Girdhar
WN2 Computation of Amount forfeited:
i) Shiva
Amount Forfeited = Application
= 3,000×2 = 6,000
ii) Girdhar
Amount Forfeited = Application + Allotment
= (2,000×2) + (2,000×3) = 10,000
Total Amount Forfeited = 6,0000 + 10,000 = 16,000
WN3 Computation of Capital Reserve:
∴ Capital Reserve = 4,000 + 10,000 = Rs 14,000
Answer:
Issued and applied 30,000 equity shares of Rs 50 each at a discount of Rs 5
Application |
Rs |
10 |
|
Allotment |
Rs |
20 |
(25–5) |
First and Final Call |
Rs |
15 |
balance |
|
Rs |
45 |
(50–5) |
Books of N Company Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,00,000 |
|
|
(Share application money of 30,000 shares at Rs 10 per share transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
6,00,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
7,50,000 |
|
|
(Share allotment due on 30,000 shares at Rs 20 each excluding discount Rs 5) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
4,50,000 |
|
|
To Equity Share Capital A/c |
|
|
4,50,000 |
|
|
(First and final call due on 30,000 shares at Rs 15 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-In-Arrears A/c |
Dr. |
|
6,000 |
|
|
To Equity Share First and Final Call Ac/ |
|
|
6,000 |
|
|
(Final call money of 400 shares transferred to Calls-in-Arrears Account due to non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Share Forfeiture A/c |
|
|
12,000 |
|
|
To Discount on Issue of Shares A/c |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c |
|
|
6,000 |
|
|
(400 shares of Rs 50 which had issued at discount of Rs 5, forfeited for non-payment of first and final call Rs 15 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
3,000 |
|
|
Discount on Issued of Shares A/c |
Dr. |
|
1,500 |
|
|
To Equity Share Capital A/c |
|
|
4,500 |
|
|
(300 of the forfeited shares re-issued at loss Rs 15 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,000 |
|
|
To Capital Reserve A/c |
|
|
6,000 |
|
|
(Balance in share forfeiture of re-issued shares transferred to capital reserve) |
|
|
|
|
|
|
|
|
|
Cash Book |
|||||
Dr. |
|
Cr. |
|||
Date |
Particulars |
Bank Rs |
Date |
Particulars |
Bank Rs |
|
|
|
|
|
|
|
Equity Share Application |
3,00,000 |
|
|
|
|
Equity Share Allotment |
6,00,000 |
|
|
|
|
Equity Share First and Final Call |
4,44,000 |
|
|
|
|
Equity Share Capital |
10,500 |
|
Balance c/d |
13,54,500 |
|
|
13,54,500 |
|
|
13,54,500 |
|
|
|
|
|
|
Working Notes-
1. Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 30 |
per share (application and allotment) |
Less: Share Forfeiture |
Dr. |
Rs 10 |
per share (excluding the amount of discount Rs 5 from the loss on re-issue Rs 15) |
Balance in Share Forfeiture |
Rs 20 |
per share |
Capital Reserve |
= |
Balance in Share Forfeiture (per share) × Number of shares re-issued |
|
= |
Rs 20 × 300 |
|
= |
Rs 6,000 |
Page No 7.123:
Question 85:
Issued and applied 30,000 equity shares of Rs 50 each at a discount of Rs 5
Application |
Rs |
10 |
|
Allotment |
Rs |
20 |
(25–5) |
First and Final Call |
Rs |
15 |
balance |
|
Rs |
45 |
(50–5) |
Books of N Company Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,00,000 |
|
|
(Share application money of 30,000 shares at Rs 10 per share transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
6,00,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
7,50,000 |
|
|
(Share allotment due on 30,000 shares at Rs 20 each excluding discount Rs 5) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
4,50,000 |
|
|
To Equity Share Capital A/c |
|
|
4,50,000 |
|
|
(First and final call due on 30,000 shares at Rs 15 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-In-Arrears A/c |
Dr. |
|
6,000 |
|
|
To Equity Share First and Final Call Ac/ |
|
|
6,000 |
|
|
(Final call money of 400 shares transferred to Calls-in-Arrears Account due to non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Share Forfeiture A/c |
|
|
12,000 |
|
|
To Discount on Issue of Shares A/c |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c |
|
|
6,000 |
|
|
(400 shares of Rs 50 which had issued at discount of Rs 5, forfeited for non-payment of first and final call Rs 15 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
3,000 |
|
|
Discount on Issued of Shares A/c |
Dr. |
|
1,500 |
|
|
To Equity Share Capital A/c |
|
|
4,500 |
|
|
(300 of the forfeited shares re-issued at loss Rs 15 per share) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,000 |
|
|
To Capital Reserve A/c |
|
|
6,000 |
|
|
(Balance in share forfeiture of re-issued shares transferred to capital reserve) |
|
|
|
|
|
|
|
|
|
Cash Book |
|||||
Dr. |
|
Cr. |
|||
Date |
Particulars |
Bank Rs |
Date |
Particulars |
Bank Rs |
|
|
|
|
|
|
|
Equity Share Application |
3,00,000 |
|
|
|
|
Equity Share Allotment |
6,00,000 |
|
|
|
|
Equity Share First and Final Call |
4,44,000 |
|
|
|
|
Equity Share Capital |
10,500 |
|
Balance c/d |
13,54,500 |
|
|
13,54,500 |
|
|
13,54,500 |
|
|
|
|
|
|
Working Notes-
1. Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 30 |
per share (application and allotment) |
Less: Share Forfeiture |
Dr. |
Rs 10 |
per share (excluding the amount of discount Rs 5 from the loss on re-issue Rs 15) |
Balance in Share Forfeiture |
Rs 20 |
per share |
Capital Reserve |
= |
Balance in Share Forfeiture (per share) × Number of shares re-issued |
|
= |
Rs 20 × 300 |
|
= |
Rs 6,000 |
Answer:
Issued 1,00,000 shares of Rs 10 each at Rs 0.60 per share
Applied 90,000 shares
Application |
Rs |
2.50 |
per share |
Allotment |
Rs |
3.40 |
(4 – 0.60) per share |
First and Final Call |
Rs |
3.50 |
|
|
|
9.40 |
(10 – 0.60) per share |
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Share Application |
|
2,25,000 |
|
|
|
|
|
Share Allotment |
|
3,06,000 |
|
|
|
|
|
Share First and Final Call |
|
3,11,500 |
|
|
|
|
|
Share Capital |
|
4,500 |
|
Balance c/d |
|
8,47,000 |
|
|
|
8,47,000 |
|
|
|
8,47,000 |
|
|
|
|
|
|
|
|
Books of P Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,25,000 |
|
|
To Equity Share Capital A/c |
|
|
2,25,000 |
|
|
(Share application of 90,000 shares at Rs 2.5 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
3,06,000 |
|
|
Discount on Issue of shares A/c |
Dr. |
|
54,000 |
|
|
To Share Capital A/c |
|
|
3,60,000 |
|
|
(Share allotment due on 90,000 shares at Rs 3.40 each excluding discount Rs 0.60) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final call A/c |
Dr. |
|
3,15,000 |
|
|
To Share Capital |
|
|
3,15,000 |
|
|
(First and final call due on 90,000 shares at Rs 3.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
3,500 |
|
|
To Share First and Final Call A/c |
|
|
3,500 |
|
|
(First and final call of 1,000 shares at Rs 3.5 per share transferred to Calls-in-Arrears Account due to non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
5,900 |
|
|
To Discount Issue of Shares A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
3,500 |
|
|
(1,000 shares of Rs 10 each which had issued at discount Rs 0.60, forfeited for the non-payment of first and final call Rs 3.5) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
200 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
300 |
|
|
To Share Capital A/c |
|
|
500 |
|
|
(500 shares of Rs 10 each re-issued at loss of Re 1, Rs 0.60 of the loss treated as discount) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,750 |
|
|
To Capital Reserve A/c |
|
|
2,750 |
|
|
(Balance in Share Forfeiture of 500 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
P Limited |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
8,97,950 |
b. Reserves and Surplus |
2 |
(7,990) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
8,89,960 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
3 |
32,220 |
|
|
|
2. Current Assets |
4 |
8,57,740 |
Total |
|
8,89,960 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
89,500 shares of Rs 10 each |
8,95,000 |
|
|
Add: Shares Forfeited (500 shares × Rs 5.9) |
2,950 |
8,97,950 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
2,750 |
|
Statement of Profit & Loss |
(10,740) | ||
(7,990) | |||
|
|
|
|
3 |
Other Non-Current Assets |
|
|
|
Unamortised Discount on Issue of Shares |
32,220 |
|
|
|
|
|
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
8,47,000 |
|
Unamortised Discount on Issue of Shares |
10,740 | ||
8,57,740 | |||
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
||
Share Forfeiture Credit |
5.9 |
per share |
Share Forfeiture Debit |
0.4 |
per share (excluding discount Rs 0.40) |
Balance in Share Forfeiture after re-issue |
5.5 |
per share |
Capital Reserve |
= Balance in share forfeiture after re-issue × No. of shares re-issued |
|
= 5.5 × 500 |
|
= Rs 2,750 |
Important points to remember:
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 10,740 [53,700 / 5] for each year and is shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 42,960 [53,700 – 10,740] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Page No 7.123:
Question 86:
Issued 1,00,000 shares of Rs 10 each at Rs 0.60 per share
Applied 90,000 shares
Application |
Rs |
2.50 |
per share |
Allotment |
Rs |
3.40 |
(4 – 0.60) per share |
First and Final Call |
Rs |
3.50 |
|
|
|
9.40 |
(10 – 0.60) per share |
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Share Application |
|
2,25,000 |
|
|
|
|
|
Share Allotment |
|
3,06,000 |
|
|
|
|
|
Share First and Final Call |
|
3,11,500 |
|
|
|
|
|
Share Capital |
|
4,500 |
|
Balance c/d |
|
8,47,000 |
|
|
|
8,47,000 |
|
|
|
8,47,000 |
|
|
|
|
|
|
|
|
Books of P Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,25,000 |
|
|
To Equity Share Capital A/c |
|
|
2,25,000 |
|
|
(Share application of 90,000 shares at Rs 2.5 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
3,06,000 |
|
|
Discount on Issue of shares A/c |
Dr. |
|
54,000 |
|
|
To Share Capital A/c |
|
|
3,60,000 |
|
|
(Share allotment due on 90,000 shares at Rs 3.40 each excluding discount Rs 0.60) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final call A/c |
Dr. |
|
3,15,000 |
|
|
To Share Capital |
|
|
3,15,000 |
|
|
(First and final call due on 90,000 shares at Rs 3.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Calls-in-Arrears A/c |
Dr. |
|
3,500 |
|
|
To Share First and Final Call A/c |
|
|
3,500 |
|
|
(First and final call of 1,000 shares at Rs 3.5 per share transferred to Calls-in-Arrears Account due to non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
5,900 |
|
|
To Discount Issue of Shares A/c |
|
|
600 |
|
|
To Calls-in-Arrears A/c |
|
|
3,500 |
|
|
(1,000 shares of Rs 10 each which had issued at discount Rs 0.60, forfeited for the non-payment of first and final call Rs 3.5) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
200 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
300 |
|
|
To Share Capital A/c |
|
|
500 |
|
|
(500 shares of Rs 10 each re-issued at loss of Re 1, Rs 0.60 of the loss treated as discount) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,750 |
|
|
To Capital Reserve A/c |
|
|
2,750 |
|
|
(Balance in Share Forfeiture of 500 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
P Limited |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
8,97,950 |
b. Reserves and Surplus |
2 |
(7,990) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
8,89,960 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
3 |
32,220 |
|
|
|
2. Current Assets |
4 |
8,57,740 |
Total |
|
8,89,960 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
1,00,000 shares of Rs 10 each |
10,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
89,500 shares of Rs 10 each |
8,95,000 |
|
|
Add: Shares Forfeited (500 shares × Rs 5.9) |
2,950 |
8,97,950 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
2,750 |
|
Statement of Profit & Loss |
(10,740) | ||
(7,990) | |||
|
|
|
|
3 |
Other Non-Current Assets |
|
|
|
Unamortised Discount on Issue of Shares |
32,220 |
|
|
|
|
|
4 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
8,47,000 |
|
Unamortised Discount on Issue of Shares |
10,740 | ||
8,57,740 | |||
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
||
Share Forfeiture Credit |
5.9 |
per share |
Share Forfeiture Debit |
0.4 |
per share (excluding discount Rs 0.40) |
Balance in Share Forfeiture after re-issue |
5.5 |
per share |
Capital Reserve |
= Balance in share forfeiture after re-issue × No. of shares re-issued |
|
= 5.5 × 500 |
|
= Rs 2,750 |
Important points to remember:
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 10,740 [53,700 / 5] for each year and is shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 42,960 [53,700 – 10,740] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Answer:
Issued 20,000 shares of Rs 100 each at a discount of Rs 5
Applied 18,000 shares
Payable as:
Application |
Rs |
25 |
per share |
Allotment |
Rs |
50 |
(55–5) per share |
First and Final Call |
Rs |
20 |
per share |
|
Rs |
95 |
(100 – 5) per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,50,000 |
|
|
To Share Application A/c |
|
|
4,50,000 |
|
|
(Share application received for 18,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
4,50,000 |
|
|
To Share Capital A/c |
|
|
4,50,000 |
|
|
(Share application money of 18,000 shares at Rs 25 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
9,00,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
90,000 |
|
|
To Share Capital A/c |
|
|
9,90,000 |
|
|
(Share allotment due on 18,000 shares at Rs 50 each excluding discount Rs 5) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,85,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
15,000 |
|
|
To Share Allotment A/c |
|
|
9,00,000 |
|
|
(Allotment received on 17,700 shares and holders of 300 shares failed to pay) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
3,60,000 |
|
|
To Share Capital A/c |
|
|
3,60,000 |
|
|
(First and final call due on 18,000 shares at Rs 20 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,54,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
6,000 |
|
|
To Share First and Final Call A/c |
|
|
3,60,000 |
|
|
(First and final call of Rs 20 each received on 17,700 shares and holder of Rs 300 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
30,000 |
|
|
To Share Forfeiture A/c |
|
|
7,500 |
|
|
To Discount on Issue of Shares A/c |
|
|
1,500 |
|
|
To Calls-in-Arrears A/c |
|
|
21,000 |
|
|
(300 shares of Rs 100 each which had issued at discount, forfeited for the non-payment of Rs 70 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,000 |
|
|
Discount on Issued of Shares A/c |
Dr. |
|
1,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
|
(200 shares of Rs 100 each re-issued at Rs 75 as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Capital Reserve |
|
|
1,000 |
|
|
(Balance in share forfeiture of 200 re-issued shares, transferred to capital reserve) |
|
|
|
|
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
25 |
per share |
Share Forfeiture |
Dr. |
20 |
per share (excluding discount Rs 5 from the loss Rs 25) |
Balance in Share Forfeiture |
Cr. |
5 |
per share |
Capital Reserve = Balance in share forfeiture after re-issue (per share) × no of share re-issued
= Re 5 × 200 shares
=Rs 1,000
Page No 7.123:
Question 87:
Issued 20,000 shares of Rs 100 each at a discount of Rs 5
Applied 18,000 shares
Payable as:
Application |
Rs |
25 |
per share |
Allotment |
Rs |
50 |
(55–5) per share |
First and Final Call |
Rs |
20 |
per share |
|
Rs |
95 |
(100 – 5) per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,50,000 |
|
|
To Share Application A/c |
|
|
4,50,000 |
|
|
(Share application received for 18,000 shares at Rs 25 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
4,50,000 |
|
|
To Share Capital A/c |
|
|
4,50,000 |
|
|
(Share application money of 18,000 shares at Rs 25 each transferred to Share Capital) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
9,00,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
90,000 |
|
|
To Share Capital A/c |
|
|
9,90,000 |
|
|
(Share allotment due on 18,000 shares at Rs 50 each excluding discount Rs 5) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,85,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
15,000 |
|
|
To Share Allotment A/c |
|
|
9,00,000 |
|
|
(Allotment received on 17,700 shares and holders of 300 shares failed to pay) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
3,60,000 |
|
|
To Share Capital A/c |
|
|
3,60,000 |
|
|
(First and final call due on 18,000 shares at Rs 20 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,54,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
6,000 |
|
|
To Share First and Final Call A/c |
|
|
3,60,000 |
|
|
(First and final call of Rs 20 each received on 17,700 shares and holder of Rs 300 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
30,000 |
|
|
To Share Forfeiture A/c |
|
|
7,500 |
|
|
To Discount on Issue of Shares A/c |
|
|
1,500 |
|
|
To Calls-in-Arrears A/c |
|
|
21,000 |
|
|
(300 shares of Rs 100 each which had issued at discount, forfeited for the non-payment of Rs 70 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
15,000 |
|
|
Discount on Issued of Shares A/c |
Dr. |
|
1,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
4,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
|
(200 shares of Rs 100 each re-issued at Rs 75 as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Capital Reserve |
|
|
1,000 |
|
|
(Balance in share forfeiture of 200 re-issued shares, transferred to capital reserve) |
|
|
|
|
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
25 |
per share |
Share Forfeiture |
Dr. |
20 |
per share (excluding discount Rs 5 from the loss Rs 25) |
Balance in Share Forfeiture |
Cr. |
5 |
per share |
Capital Reserve = Balance in share forfeiture after re-issue (per share) × no of share re-issued
= Re 5 × 200 shares
=Rs 1,000
Answer:
(i) |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c (100 × Rs2) |
|
|
200 |
||
|
To Discount on Issue of Shares A/c |
|
|
100 |
||
|
To Calls-in-Arrears A/c |
|
|
700 |
||
|
(100 shares of Rs 10 each which had issued at discount Re 1, forfeited for non- payment of Rs 7) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
480 |
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
80 |
|
|
|
Share Forfeiture A/c (80 × Re 1) |
Dr. |
|
80 |
|
|
|
To Share Capital A/c (80 × Rs 8) |
|
|
640 |
||
|
(80 shares of Rs 10 each, re-issued for Rs 6 each as Rs 8 paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
80 |
|
|
|
To Capital Reserve A/c |
|
|
80 |
||
|
(Share Forfeiture of 80 shares at Re 1 transferred Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Note-
Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 2 |
per share |
Share Forfeiture (Loss) |
Dr. |
Re 1 |
per share (excluding discount Re 1) |
Balance in share forfeiture after re-issue |
Cr. |
Re 1 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue × No. of shares re-issued
= Re 1 × 80 shares
= Rs 80
(ii) |
Journal |
||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Share Forfeiture A/c (2,000 × Rs 7) |
|
|
14,000 |
|
|
To Calls-in-Arrears A/c |
|
|
6,000 |
|
|
(2,000 shares of Rs 10 each forfeited for the non-payment of Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
600 |
|
|
Share Forfeiture A/c (100 × Rs 4) |
Dr. |
|
400 |
|
|
To Equity Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each reissued at Rs 6 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Capital Reserve A/c |
|
|
300 |
|
|
(Balance in Share Forfeiture of 100 re-issued shares transferred to Capital Reserve ) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 7 |
per share |
Share Forfeiture |
Dr. |
Rs 4 |
per share |
Balance in share forfeiture after re-issue |
Cr. |
3 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue × No. of shares re-issued
= Re 3 × 100 shares
= Rs 300
Page No 7.123:
Question 88:
(i) |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c (100 × Rs2) |
|
|
200 |
||
|
To Discount on Issue of Shares A/c |
|
|
100 |
||
|
To Calls-in-Arrears A/c |
|
|
700 |
||
|
(100 shares of Rs 10 each which had issued at discount Re 1, forfeited for non- payment of Rs 7) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
480 |
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
80 |
|
|
|
Share Forfeiture A/c (80 × Re 1) |
Dr. |
|
80 |
|
|
|
To Share Capital A/c (80 × Rs 8) |
|
|
640 |
||
|
(80 shares of Rs 10 each, re-issued for Rs 6 each as Rs 8 paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
80 |
|
|
|
To Capital Reserve A/c |
|
|
80 |
||
|
(Share Forfeiture of 80 shares at Re 1 transferred Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Note-
Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 2 |
per share |
Share Forfeiture (Loss) |
Dr. |
Re 1 |
per share (excluding discount Re 1) |
Balance in share forfeiture after re-issue |
Cr. |
Re 1 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue × No. of shares re-issued
= Re 1 × 80 shares
= Rs 80
(ii) |
Journal |
||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Share Forfeiture A/c (2,000 × Rs 7) |
|
|
14,000 |
|
|
To Calls-in-Arrears A/c |
|
|
6,000 |
|
|
(2,000 shares of Rs 10 each forfeited for the non-payment of Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
600 |
|
|
Share Forfeiture A/c (100 × Rs 4) |
Dr. |
|
400 |
|
|
To Equity Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 10 each reissued at Rs 6 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
To Capital Reserve A/c |
|
|
300 |
|
|
(Balance in Share Forfeiture of 100 re-issued shares transferred to Capital Reserve ) |
|
|
|
|
|
|
|
|
|
Working Note-
Share Forfeiture of re-issued shares |
|||
Share Forfeiture |
Cr. |
Rs 7 |
per share |
Share Forfeiture |
Dr. |
Rs 4 |
per share |
Balance in share forfeiture after re-issue |
Cr. |
3 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue × No. of shares re-issued
= Re 3 × 100 shares
= Rs 300
Answer:
(i) |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital |
Dr. |
|
2,400 |
|
|
|
To Share Forfeiture A/c |
|
|
1,500 |
||
|
To Calls-in-Arrears A/c |
|
|
900 |
||
|
(300 shares of Rs 10 each on which had called Rs 8, forfeited for non-payment of second call Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,000 |
|
|
|
To Share Capital A/c |
|
|
3,000 |
||
|
(300 shares of Rs 10 each re-issued) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
1,500 |
|
|
|
To Capital Reserve A/c |
|
|
1,500 |
||
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
1,500 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
NIL |
Balance in Share Forfeiture after re-issue of shares |
1,500 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares
= Rs 1,500
(ii) |
Books of Y Limited Journal |
||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
2,400 |
|
|
To Calls-in-Arrears A/c |
|
|
1,600 |
|
|
(400 shares of Rs 10 forfeited for the non-payment of final call Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,800 |
|
|
To Share Capital A/c |
|
|
4,000 |
|
|
To Securities Premium A/c |
|
|
800 |
|
|
(400 shares of 10 each re-issued at Rs 12 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,400 |
|
|
To Capital Reserve A/c |
|
|
2,400 |
|
|
(Balance of Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
2,400 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
NIL |
Balance in Share Forfeiture after re-issue of shares |
2,400 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares
= Rs 2,400
(iii) |
Books of Z Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
2,500 |
|
|
|
To Share Forfeiture A/c (250×3) |
|
|
750 |
||
|
To Calls-in-Arrears A/c |
|
|
1,750 |
||
|
(250 shares of Rs 10 each forfeited for the non-payment Rs 7 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,000 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
|
To Share Capital A/c |
|
|
2,500 |
||
|
(250 shares of Rs 10 each re-issued for Rs 8 per share as fully paid-up ) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
250 |
|
|
|
To Capital Reserve A/c |
|
|
250 |
||
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
750 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
500 |
Balance in Share Forfeiture after re-issue of shares |
250 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares = Rs 250
Page No 7.123:
Question 89:
(i) |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital |
Dr. |
|
2,400 |
|
|
|
To Share Forfeiture A/c |
|
|
1,500 |
||
|
To Calls-in-Arrears A/c |
|
|
900 |
||
|
(300 shares of Rs 10 each on which had called Rs 8, forfeited for non-payment of second call Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
3,000 |
|
|
|
To Share Capital A/c |
|
|
3,000 |
||
|
(300 shares of Rs 10 each re-issued) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
1,500 |
|
|
|
To Capital Reserve A/c |
|
|
1,500 |
||
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
1,500 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
NIL |
Balance in Share Forfeiture after re-issue of shares |
1,500 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares
= Rs 1,500
(ii) |
Books of Y Limited Journal |
||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
2,400 |
|
|
To Calls-in-Arrears A/c |
|
|
1,600 |
|
|
(400 shares of Rs 10 forfeited for the non-payment of final call Rs 4 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,800 |
|
|
To Share Capital A/c |
|
|
4,000 |
|
|
To Securities Premium A/c |
|
|
800 |
|
|
(400 shares of 10 each re-issued at Rs 12 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,400 |
|
|
To Capital Reserve A/c |
|
|
2,400 |
|
|
(Balance of Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
2,400 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
NIL |
Balance in Share Forfeiture after re-issue of shares |
2,400 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares
= Rs 2,400
(iii) |
Books of Z Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
2,500 |
|
|
|
To Share Forfeiture A/c (250×3) |
|
|
750 |
||
|
To Calls-in-Arrears A/c |
|
|
1,750 |
||
|
(250 shares of Rs 10 each forfeited for the non-payment Rs 7 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,000 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
|
To Share Capital A/c |
|
|
2,500 |
||
|
(250 shares of Rs 10 each re-issued for Rs 8 per share as fully paid-up ) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
250 |
|
|
|
To Capital Reserve A/c |
|
|
250 |
||
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
750 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
500 |
Balance in Share Forfeiture after re-issue of shares |
250 |
Capital Reserve = Balance in Share Forfeiture of re-issued shares = Rs 250
Answer:
(a) |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
300 |
|
|
|
To Share Forfeiture A/c (30 × Rs 3) |
|
|
90 |
||
|
To Calls-in-Arrears A/c |
|
|
210 |
||
|
(30 shares of Rs 10 each forfeited for the non-payment of Rs 7 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
240 |
|
|
|
Share Forfeiture A/c (30 × Rs 2) |
Dr. |
|
60 |
|
|
|
To Share Capital A/c |
|
|
300 |
||
|
(30 shares of Rs 10 each re-issued at Rs 8 per shares as fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
30 |
|
|
|
To Capital Reserve A/c |
|
|
30 |
||
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
Rs 90 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
Rs 60 |
Balance in share forfeiture after re-issue of shares |
Rs 30 |
Capital Reserve = Balance in Share Forfeiture of reissued shares
= Rs 30
(b) |
Journal |
||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (20 × Rs 7) |
Dr. |
|
140 |
|
|
To Share Forfeiture A/c (20 × Rs 5) |
|
|
100 |
|
|
To Calls-in-Arrears A/c |
|
|
40 |
|
|
(20 shares of Rs 10 each, Rs 7 called-up, forfeited for non-payment of Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
90 |
|
|
Share Forfeiture A/c (Rs 4 × 15) |
Dr. |
|
60 |
|
|
To Share Capital A/c |
|
|
150 |
|
|
(15 shares of Rs 10 each re-issued at Rs 6 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
15 |
|
|
To Capital Reserve A/c |
|
|
15 |
|
|
(Balance in Share Forfeiture of 15 shares after re-issue, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
|
||
Share Forfeiture |
Cr. |
Rs 5 |
per share |
Less: Share Forfeiture |
Dr. |
Rs 4 |
per share |
Balance in Share Forfeiture after re-issue |
|
Re 1 |
per share |
Capital Reserve |
= Balance in Share Forfeiture after re-issue × No. of shares reissued |
|
= Re 1 × 15 |
|
= Rs 15 |
(c) |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c (Rs 6 × 10) |
Dr. |
|
60 |
|
|
|
To Share Forfeiture A/c (Rs 2 × 10) |
|
|
20 |
||
|
To Calls-in-Arrears A/c (Rs 3 × 10) |
|
|
30 |
||
|
To Discount on Issue of Shares A/c (Re 1 × 10) |
|
|
10 |
||
|
(10 shares of Rs 10 each at discount of Re 1 on which Rs 7 had called, forfeited for the non-payment of Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c (Rs 6 × 8) |
Dr. |
|
48 |
|
|
|
Share Forfeiture A/c (Re 1 × 8) |
Dr. |
|
8 |
|
|
|
Discount on Issue of Shares A/c (Re 1×8) |
Dr. |
|
8 |
|
|
|
To Share Capital A/c |
|
|
64 |
||
|
(8 shares of Rs 10 each at a discount Re 1, reissued at Rs 6 each as Rs 8 called-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
8 |
|
|
|
To Capital Reserve A/c |
|
|
8 |
||
|
(Balance in share forfeiture of re-issued shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|
||
Share Forfeiture |
Cr. |
Rs 2 |
per share |
Less: Share Forfeiture |
Dr. |
Re 1 |
per share (Loss on re-issue excluding discount Re 1) |
Balance in Share Forfeiture |
|
Re 1 |
per share (after re-issue) |
Capital Reserve |
= Balance in Share Forfeiture after re-issue (per share) × No. of Shares Re-issued |
|
= Re 1 × 8 |
|
= Rs 8 |
Page No 7.124:
Question 90:
(a) |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
300 |
|
|
|
To Share Forfeiture A/c (30 × Rs 3) |
|
|
90 |
||
|
To Calls-in-Arrears A/c |
|
|
210 |
||
|
(30 shares of Rs 10 each forfeited for the non-payment of Rs 7 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
240 |
|
|
|
Share Forfeiture A/c (30 × Rs 2) |
Dr. |
|
60 |
|
|
|
To Share Capital A/c |
|
|
300 |
||
|
(30 shares of Rs 10 each re-issued at Rs 8 per shares as fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
30 |
|
|
|
To Capital Reserve A/c |
|
|
30 |
||
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture Credit (at the time of forfeiture of shares) |
Rs 90 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
Rs 60 |
Balance in share forfeiture after re-issue of shares |
Rs 30 |
Capital Reserve = Balance in Share Forfeiture of reissued shares
= Rs 30
(b) |
Journal |
||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Capital A/c (20 × Rs 7) |
Dr. |
|
140 |
|
|
To Share Forfeiture A/c (20 × Rs 5) |
|
|
100 |
|
|
To Calls-in-Arrears A/c |
|
|
40 |
|
|
(20 shares of Rs 10 each, Rs 7 called-up, forfeited for non-payment of Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
90 |
|
|
Share Forfeiture A/c (Rs 4 × 15) |
Dr. |
|
60 |
|
|
To Share Capital A/c |
|
|
150 |
|
|
(15 shares of Rs 10 each re-issued at Rs 6 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
15 |
|
|
To Capital Reserve A/c |
|
|
15 |
|
|
(Balance in Share Forfeiture of 15 shares after re-issue, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
|
||
Share Forfeiture |
Cr. |
Rs 5 |
per share |
Less: Share Forfeiture |
Dr. |
Rs 4 |
per share |
Balance in Share Forfeiture after re-issue |
|
Re 1 |
per share |
Capital Reserve |
= Balance in Share Forfeiture after re-issue × No. of shares reissued |
|
= Re 1 × 15 |
|
= Rs 15 |
(c) |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c (Rs 6 × 10) |
Dr. |
|
60 |
|
|
|
To Share Forfeiture A/c (Rs 2 × 10) |
|
|
20 |
||
|
To Calls-in-Arrears A/c (Rs 3 × 10) |
|
|
30 |
||
|
To Discount on Issue of Shares A/c (Re 1 × 10) |
|
|
10 |
||
|
(10 shares of Rs 10 each at discount of Re 1 on which Rs 7 had called, forfeited for the non-payment of Rs 3 per share) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c (Rs 6 × 8) |
Dr. |
|
48 |
|
|
|
Share Forfeiture A/c (Re 1 × 8) |
Dr. |
|
8 |
|
|
|
Discount on Issue of Shares A/c (Re 1×8) |
Dr. |
|
8 |
|
|
|
To Share Capital A/c |
|
|
64 |
||
|
(8 shares of Rs 10 each at a discount Re 1, reissued at Rs 6 each as Rs 8 called-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
8 |
|
|
|
To Capital Reserve A/c |
|
|
8 |
||
|
(Balance in share forfeiture of re-issued shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|
||
Share Forfeiture |
Cr. |
Rs 2 |
per share |
Less: Share Forfeiture |
Dr. |
Re 1 |
per share (Loss on re-issue excluding discount Re 1) |
Balance in Share Forfeiture |
|
Re 1 |
per share (after re-issue) |
Capital Reserve |
= Balance in Share Forfeiture after re-issue (per share) × No. of Shares Re-issued |
|
= Re 1 × 8 |
|
= Rs 8 |
Answer:
(a) |
Books of VT Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c (200 × Rs 10) |
Dr. |
|
2,000 |
|
|
|
To Share Forfeiture A/c (200 × Rs 7) |
|
|
1,400 |
||
|
To Calls-in-Arrears A/c |
|
|
600 |
||
|
(200 shares of Rs 10 each forfeited for non-payment of Rs 3 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
600 |
|
|
|
Share Forfeiture A/c (100 × Rs 4) |
Dr. |
|
400 |
|
|
|
To Share Capital A/c |
|
|
1,000 |
||
|
(100 shares of Rs 10 each re-issued at Rs 6 per share fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
|
To Capital Reserve A/c |
|
|
300 |
||
|
(Balance in share forfeiture of 100 shares transferred to capital reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
||
Share Forfeiture Cr. |
Rs 7 |
per share |
Share Forfeiture Dr. |
Rs 4 |
per share |
Balance in Share Forfeiture after re-issue |
Rs 3 |
per share |
Capital Reserve |
= Balance in Share Forfeiture after re-issue (per share) × No. of shares re-issued |
|
= Re 3 × 100 |
|
= Rs 300 |
(b) |
Books of ABC Limited Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c (500 × Rs 9) |
Dr. |
|
4,500 |
|
|
|
To Share Forfeiture A/c (500 × Rs 5) |
|
|
2,500 |
||
|
To Discount on Issue of Shares A/c |
|
|
500 |
||
|
To Calls-in-Arrears A/c |
|
|
1,500 |
||
|
(500 shares of Rs 10 each at a discount on which Rs 9 had called-up, forfeited for-payment of Rs 3) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,000 |
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
250 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
250 |
|
|
|
To Share Capital A/c |
|
|
2,500 |
||
|
(250 shares of Rs 10 each at discount of Re 1, re-issued at Rs 8 each as fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
|
To Capital Reserve |
|
|
1,000 |
||
|
(Balance in share forfeiture of 250 re-issued shares transferred to capital reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of Re-issued Shares |
||
Share Forfeiture Cr. |
Rs 5 |
per share |
Share Forfeiture Dr. |
Rs 1 |
per share |
Balance after re-issue |
Rs 4 |
per share |
Capital Reserve |
= Balance in Share Forfeiture after re-issue (per share) × No. of shares re-issued |
|
= Rs 4 × 250 |
|
= Rs 1,000 |
Page No 7.124:
Question 91:
(a) |
Books of VT Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c (200 × Rs 10) |
Dr. |
|
2,000 |
|
|
|
To Share Forfeiture A/c (200 × Rs 7) |
|
|
1,400 |
||
|
To Calls-in-Arrears A/c |
|
|
600 |
||
|
(200 shares of Rs 10 each forfeited for non-payment of Rs 3 each) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
600 |
|
|
|
Share Forfeiture A/c (100 × Rs 4) |
Dr. |
|
400 |
|
|
|
To Share Capital A/c |
|
|
1,000 |
||
|
(100 shares of Rs 10 each re-issued at Rs 6 per share fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
300 |
|
|
|
To Capital Reserve A/c |
|
|
300 |
||
|
(Balance in share forfeiture of 100 shares transferred to capital reserve) |
|
|
|
||
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
||
Share Forfeiture Cr. |
Rs 7 |
per share |
Share Forfeiture Dr. |
Rs 4 |
per share |
Balance in Share Forfeiture after re-issue |
Rs 3 |
per share |
Capital Reserve |
= Balance in Share Forfeiture after re-issue (per share) × No. of shares re-issued |
|
= Re 3 × 100 |
|
= Rs 300 |
(b) |
Books of ABC Limited Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c (500 × Rs 9) |
Dr. |
|
4,500 |
|
|
|
To Share Forfeiture A/c (500 × Rs 5) |
|
|
2,500 |
||
|
To Discount on Issue of Shares A/c |
|
|
500 |
||
|
To Calls-in-Arrears A/c |
|
|
1,500 |
||
|
(500 shares of Rs 10 each at a discount on which Rs 9 had called-up, forfeited for-payment of Rs 3) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
2,000 |
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
250 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
250 |
|
|
|
To Share Capital A/c |
|
|
2,500 |
||
|
(250 shares of Rs 10 each at discount of Re 1, re-issued at Rs 8 each as fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
|
To Capital Reserve |
|
|
1,000 |
||
|
(Balance in share forfeiture of 250 re-issued shares transferred to capital reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of Re-issued Shares |
||
Share Forfeiture Cr. |
Rs 5 |
per share |
Share Forfeiture Dr. |
Rs 1 |
per share |
Balance after re-issue |
Rs 4 |
per share |
Capital Reserve |
= Balance in Share Forfeiture after re-issue (per share) × No. of shares re-issued |
|
= Rs 4 × 250 |
|
= Rs 1,000 |
Answer:
1)
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Share Capital A/c (75Ã500) |
Dr. |
|
37,500 |
|
|
|
To Share Forfeiture A/c (45Ã500) |
|
|
|
22,500 |
|
|
To Discount on Issue A/c (10Ã500) |
|
|
|
5,000 |
|
|
To Calls-in-Arrears (20Ã500) |
|
|
|
10,000 |
|
|
(500 shares of Rs 100 each issued at discount forfeited for non payment of Rs 20, Rs 75 called up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
37,500 |
|
|
|
To Share Capital A/c |
|
|
|
30,000 |
|
|
To Securities Premium A/c |
|
|
|
7,500 |
|
|
(300 shares of Rs 100 each reissued at Rs 125) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
20,000 |
|
|
|
To Share Capital A/c |
|
|
|
20,000 |
|
|
(200 shares reissued at Rs 100) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
22,500 |
|
|
|
To Capital Reserve A/c |
|
|
|
22,500 |
|
|
(Profit on reissue transferred to capital reserve) |
|
|
|
|
2)
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Equity Share Capital A/c (8Ã1,000) |
Dr. |
|
8,000 |
|
|
|
Securities Premium A/c (2Ã1,000) |
Dr. |
|
2,000 |
|
|
|
To Share Forfeiture A/c |
|
|
|
5,000 |
|
|
To Calls-in-Arrears |
|
|
|
5,000 |
|
|
(1,000 shares of Rs 10 each issued at premium of Rs 2 forfeited for non payment of allotment money of Rs 5 including premium, final call of Rs 2 not yet made) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (12Ã800) |
Dr. |
|
9,600 |
|
|
|
To Share Capital A/c |
|
|
|
8,000 |
|
|
To Securities Premium A/c |
|
|
|
1,600 |
|
|
(800 shares reissued at Rs 12 fully paid up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (11Ã200) |
Dr. |
|
2,200 |
|
|
|
To Share Capital A/c |
|
|
|
2,000 |
|
|
To Securities Premium A/c |
|
|
|
200 |
|
|
(200 shares reissued at Rs 11 fully paid up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
5,000 |
|
|
|
To Capital Reserve A/c |
|
|
|
5,000 |
|
|
(Profit on reissue transferred to capital reserve) |
|
|
|
|
Page No 7.124:
Question 92:
1)
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Share Capital A/c (75Ã500) |
Dr. |
|
37,500 |
|
|
|
To Share Forfeiture A/c (45Ã500) |
|
|
|
22,500 |
|
|
To Discount on Issue A/c (10Ã500) |
|
|
|
5,000 |
|
|
To Calls-in-Arrears (20Ã500) |
|
|
|
10,000 |
|
|
(500 shares of Rs 100 each issued at discount forfeited for non payment of Rs 20, Rs 75 called up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
37,500 |
|
|
|
To Share Capital A/c |
|
|
|
30,000 |
|
|
To Securities Premium A/c |
|
|
|
7,500 |
|
|
(300 shares of Rs 100 each reissued at Rs 125) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
20,000 |
|
|
|
To Share Capital A/c |
|
|
|
20,000 |
|
|
(200 shares reissued at Rs 100) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
22,500 |
|
|
|
To Capital Reserve A/c |
|
|
|
22,500 |
|
|
(Profit on reissue transferred to capital reserve) |
|
|
|
|
2)
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Equity Share Capital A/c (8Ã1,000) |
Dr. |
|
8,000 |
|
|
|
Securities Premium A/c (2Ã1,000) |
Dr. |
|
2,000 |
|
|
|
To Share Forfeiture A/c |
|
|
|
5,000 |
|
|
To Calls-in-Arrears |
|
|
|
5,000 |
|
|
(1,000 shares of Rs 10 each issued at premium of Rs 2 forfeited for non payment of allotment money of Rs 5 including premium, final call of Rs 2 not yet made) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (12Ã800) |
Dr. |
|
9,600 |
|
|
|
To Share Capital A/c |
|
|
|
8,000 |
|
|
To Securities Premium A/c |
|
|
|
1,600 |
|
|
(800 shares reissued at Rs 12 fully paid up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (11Ã200) |
Dr. |
|
2,200 |
|
|
|
To Share Capital A/c |
|
|
|
2,000 |
|
|
To Securities Premium A/c |
|
|
|
200 |
|
|
(200 shares reissued at Rs 11 fully paid up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
5,000 |
|
|
|
To Capital Reserve A/c |
|
|
|
5,000 |
|
|
(Profit on reissue transferred to capital reserve) |
|
|
|
|
Answer:
(a) |
Books of XYZ Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Equity Share Capital A/c (200 × Rs 10) |
Dr. |
|
2,000 |
|
|
|
Securities Premium A/c (200 × Rs 5) |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c (200 × Rs2) |
|
|
400 |
||
|
To Calls-In-Arrears A/c |
|
|
2,600 |
||
|
(200 shares of Rs 10 each forfeited for non- payment Rs 8 including premium Rs 5) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
1,125 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
125 |
|
|
|
To Equity Share Capital A/c |
|
|
1,250 |
||
|
(125 shares of Rs 10 each re-issued at Rs 9 per share fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
125 |
|
|
|
To Capital Reserve A/c |
|
|
125 |
||
|
(Balance in Share Forfeiture of re-issued 125 shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|
|
Share Forfeiture Cr. |
Rs 2 |
per share |
Share Forfeiture Dr. |
Re 1 |
per share |
Balance after re-issue |
Re 1 |
per share |
Capital Reserve = Balance in share forfeiture after re-issue (per share) × No. of share re-issued
= Re 1 × 125 shares
= Rs 125
(b) |
Books of VT Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
140 |
|
|
|
To Share Forfeiture A/c |
|
|
40 |
||
|
To Discount on Issue of Shares A/c |
|
|
20 |
||
|
To Calls-in-Arrears A/c |
|
|
80 |
||
|
(20 shares of Rs 10 each at a discount Re 1, on which Rs 7 had called-up, forfeited for the non-payment of Rs 4) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
108 |
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
18 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
18 |
|
|
|
To Share Capital A/c |
|
|
144 |
||
|
(18 shares of Rs 10 each re-issued at Rs 6 per share after allowing discount Re 1, as Rs 8 called-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
18 |
|
|
|
To Capital Reserve A/c |
|
|
18 |
||
|
(Balance in Share Forfeiture Account of re-issued 18 shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|
|
Share Forfeiture (Cr.) |
Rs 2 |
per share |
Share Forfeiture (Dr.) |
Re 1 |
per share |
|
Re 1 |
per share |
Capital Reserve = Balance in share forfeiture after re-issue (per share) × no of share re-issued = Re 1 × 18 shares = Rs 18
Page No 7.124:
Question 93:
(a) |
Books of XYZ Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Equity Share Capital A/c (200 × Rs 10) |
Dr. |
|
2,000 |
|
|
|
Securities Premium A/c (200 × Rs 5) |
Dr. |
|
1,000 |
|
|
|
To Share Forfeiture A/c (200 × Rs2) |
|
|
400 |
||
|
To Calls-In-Arrears A/c |
|
|
2,600 |
||
|
(200 shares of Rs 10 each forfeited for non- payment Rs 8 including premium Rs 5) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
1,125 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
125 |
|
|
|
To Equity Share Capital A/c |
|
|
1,250 |
||
|
(125 shares of Rs 10 each re-issued at Rs 9 per share fully paid-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
125 |
|
|
|
To Capital Reserve A/c |
|
|
125 |
||
|
(Balance in Share Forfeiture of re-issued 125 shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|
|
Share Forfeiture Cr. |
Rs 2 |
per share |
Share Forfeiture Dr. |
Re 1 |
per share |
Balance after re-issue |
Re 1 |
per share |
Capital Reserve = Balance in share forfeiture after re-issue (per share) × No. of share re-issued
= Re 1 × 125 shares
= Rs 125
(b) |
Books of VT Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
|
|
|
|
||
|
Share Capital A/c |
Dr. |
|
140 |
|
|
|
To Share Forfeiture A/c |
|
|
40 |
||
|
To Discount on Issue of Shares A/c |
|
|
20 |
||
|
To Calls-in-Arrears A/c |
|
|
80 |
||
|
(20 shares of Rs 10 each at a discount Re 1, on which Rs 7 had called-up, forfeited for the non-payment of Rs 4) |
|
|
|
||
|
|
|
|
|
||
|
Bank A/c |
Dr. |
|
108 |
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
18 |
|
|
|
Share Forfeiture A/c |
Dr. |
|
18 |
|
|
|
To Share Capital A/c |
|
|
144 |
||
|
(18 shares of Rs 10 each re-issued at Rs 6 per share after allowing discount Re 1, as Rs 8 called-up) |
|
|
|
||
|
|
|
|
|
||
|
Share Forfeiture A/c |
Dr. |
|
18 |
|
|
|
To Capital Reserve A/c |
|
|
18 |
||
|
(Balance in Share Forfeiture Account of re-issued 18 shares transferred to Capital Reserve) |
|
|
|
||
|
|
|
|
|
Working Notes:
Share Forfeiture of re-issued shares |
|
|
Share Forfeiture (Cr.) |
Rs 2 |
per share |
Share Forfeiture (Dr.) |
Re 1 |
per share |
|
Re 1 |
per share |
Capital Reserve = Balance in share forfeiture after re-issue (per share) × no of share re-issued = Re 1 × 18 shares = Rs 18
Answer:
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
(a) |
Share Capital A/c (20 Shares × 7) |
Dr. |
|
140 |
|
|
|
To Share Forfeiture A/c (20 Shares × 5) |
|
|
|
100 |
|
|
To Calls-in- Arrears A/c (20 Shares × 2) |
|
|
|
40 |
|
|
(20 Shares of Rs 10 each, Rs 7 called-up forfeited for the non-payment of call) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (15 Shares × 8) |
Dr. |
|
120 |
|
|
|
To Share Capital A/c (15 Shares × 7) |
|
|
|
105 |
|
|
To Securities Premium A/c (15 Shares × 1) |
|
|
|
15 |
|
|
(15 shares were reissued as Rs 7 paid-up for Rs 8 per share) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares Forfeiture A/c (15 Shares × 5) |
Dr. |
|
75* |
|
|
|
To Capital Reserve A/c |
|
|
|
75 |
|
|
(Transfer of profit on re-issue of 15 shares) |
|
|
|
|
|
|
|
|
|
|
|
|
(b) |
Share Capital A/c (90 Shares × 8) |
Dr. |
|
720 |
|
|
|
Securities Premium A/c (90 Shares × 2) |
Dr. |
|
180 |
|
|
|
To Share Forfeiture A/c (90 Shares × 5) |
|
|
|
450 |
|
|
To Share Allotment A/c (90 Shares × 5) |
|
|
|
450 |
|
|
(Shares forfeited for non-payment of allotment) |
|
|
|
|
|
|
Bank A/c (80 Shares × 10) |
Dr. |
|
800 |
|
|
|
To Share Capital A/c (80 Shares × 8) |
|
|
|
640 |
|
|
To Securities Premium A/c (80 Shares × 2) |
|
|
|
160 |
|
|
(80 shares were reissued for Rs 10, Rs 8 called-up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares Forfeiture A/c (80 Shares × 5) |
Dr. |
|
400 |
|
|
|
To Capital Reserve A/c |
|
|
|
400 |
|
|
(Transfer of profit on re-issue of 80 shares) |
|
|
|
|
|
|
|
|
|
|
|
|
(c) |
Share Capital A/c (300 Shares × 10) |
Dr. |
|
3,000 |
|
|
|
To Share Forfeiture A/c (300 Shares × 6) |
|
|
|
1,800 |
|
|
To Discount on Issue of Shares A/c (300 Shares × 1) |
|
|
|
300 |
|
|
To Share First and Final Call A/c (300 Shares × 3) |
|
|
|
900 |
|
|
(Shares forfeited for non-payment of First and Final Call) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (200 Shares × 3) |
Dr. |
|
600 |
|
|
|
Discount on Issue of Shares A/c (200 Shares × 1) |
Dr. |
|
200 |
|
|
|
Share Forfeiture A/c (200 Shares × 6) |
|
|
1,200 |
|
|
|
To Share Capital A/c (200 Shares × 10) |
|
|
|
2,000 |
|
|
(200 shares were reissued for Rs 3 per share, fully called-up) |
|
|
|
|
|
|
|
|
|
|
|
Working Notes-
Note 1
Note 2
Note 3
Page No 7.124:
Question 94:
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
(a) |
Share Capital A/c (20 Shares × 7) |
Dr. |
|
140 |
|
|
|
To Share Forfeiture A/c (20 Shares × 5) |
|
|
|
100 |
|
|
To Calls-in- Arrears A/c (20 Shares × 2) |
|
|
|
40 |
|
|
(20 Shares of Rs 10 each, Rs 7 called-up forfeited for the non-payment of call) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (15 Shares × 8) |
Dr. |
|
120 |
|
|
|
To Share Capital A/c (15 Shares × 7) |
|
|
|
105 |
|
|
To Securities Premium A/c (15 Shares × 1) |
|
|
|
15 |
|
|
(15 shares were reissued as Rs 7 paid-up for Rs 8 per share) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares Forfeiture A/c (15 Shares × 5) |
Dr. |
|
75* |
|
|
|
To Capital Reserve A/c |
|
|
|
75 |
|
|
(Transfer of profit on re-issue of 15 shares) |
|
|
|
|
|
|
|
|
|
|
|
|
(b) |
Share Capital A/c (90 Shares × 8) |
Dr. |
|
720 |
|
|
|
Securities Premium A/c (90 Shares × 2) |
Dr. |
|
180 |
|
|
|
To Share Forfeiture A/c (90 Shares × 5) |
|
|
|
450 |
|
|
To Share Allotment A/c (90 Shares × 5) |
|
|
|
450 |
|
|
(Shares forfeited for non-payment of allotment) |
|
|
|
|
|
|
Bank A/c (80 Shares × 10) |
Dr. |
|
800 |
|
|
|
To Share Capital A/c (80 Shares × 8) |
|
|
|
640 |
|
|
To Securities Premium A/c (80 Shares × 2) |
|
|
|
160 |
|
|
(80 shares were reissued for Rs 10, Rs 8 called-up) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares Forfeiture A/c (80 Shares × 5) |
Dr. |
|
400 |
|
|
|
To Capital Reserve A/c |
|
|
|
400 |
|
|
(Transfer of profit on re-issue of 80 shares) |
|
|
|
|
|
|
|
|
|
|
|
|
(c) |
Share Capital A/c (300 Shares × 10) |
Dr. |
|
3,000 |
|
|
|
To Share Forfeiture A/c (300 Shares × 6) |
|
|
|
1,800 |
|
|
To Discount on Issue of Shares A/c (300 Shares × 1) |
|
|
|
300 |
|
|
To Share First and Final Call A/c (300 Shares × 3) |
|
|
|
900 |
|
|
(Shares forfeited for non-payment of First and Final Call) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (200 Shares × 3) |
Dr. |
|
600 |
|
|
|
Discount on Issue of Shares A/c (200 Shares × 1) |
Dr. |
|
200 |
|
|
|
Share Forfeiture A/c (200 Shares × 6) |
|
|
1,200 |
|
|
|
To Share Capital A/c (200 Shares × 10) |
|
|
|
2,000 |
|
|
(200 shares were reissued for Rs 3 per share, fully called-up) |
|
|
|
|
|
|
|
|
|
|
|
Working Notes-
Note 1
Note 2
Note 3
Answer:
Issued capital 30,000 equity shares of Rs 10 each at a discount Re 1 per share
Applied 40,000 shares
Allotment made as: |
|
Payable as: |
|
|
||
Applied |
|
Allotted |
|
Application |
Rs 2 |
|
4,000 |
|
NIL |
|
Allotment |
Rs 3 |
(4–1) |
36,000 |
|
30,000 |
|
First and Final Call |
Rs 4 |
|
40,000 |
|
30,000 |
|
|
Rs 9 |
(10–1) |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Application A/c |
|
|
80,000 |
|
|
(Share application money received for 40,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Equity Share Allotment A/c |
|
|
12,000 |
|
|
To Bank A/c |
|
|
8,000 |
|
|
(Share application at Rs 2 each on 30,000 shares transferred to Share Capital, Rs 12,000 adjusted on allotment and Rs 8,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
90,000 |
|
|
Discount on issue of share A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
(Share allotment due on 30,000 shares at Rs 3 each after a discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
71,900 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
6,100 |
|
|
To Equity Share Allotment A/c |
|
|
78,000 |
|
|
(Share allotment money received and default in payment transferred Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
12,000 |
|
|
To Share Forfeiture A/c |
|
|
4,800 |
|
|
To Discount on Issue of Shares A/c |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c |
|
|
5,200 |
|
|
(2,000 shares held by M forfeited for non-payment of allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share first and Final Call A/c |
Dr. |
|
1,12,000 |
|
|
To Equity Share Capital A/c |
|
|
1,12,000 |
|
|
(First and final call due on 28,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,06,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
14,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
1,20,000 |
|
|
(First and final call received and default in payment transferred to Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
15,000 |
|
|
To Share Forfeiture A/c |
|
|
6,600 |
|
|
To Discount on issue of Shares A/c |
|
|
1,500 |
|
|
To Calls-in-Arrears A/c |
|
|
6,900 |
|
|
(1,500 shares held by S forfeited for non- payment of allotment and call) |
|
|
|
|
|
|
|
|
|
Working Notes-
Number of shares allotted to M |
= |
|
|
= |
2,000 shares |
Number of shares applied by S |
= |
|
|
= |
1,800 shares |
M’s Shares |
||
Money received on application 2,400 × Rs 2 |
= |
Rs 4,800 |
Less: App. money transferred to Share Capital 2000 × Rs 2 |
= |
Rs 4,000 |
Excess money on application |
|
800 |
Allotment due on 2,000 × Rs 3 |
= |
6,000 |
Less: Excess money on application |
= |
800 |
Calls-in-Arrears on allotment by M |
|
5,200 |
S’s Shares |
||
Money received on application 1,800 × Rs 2 |
= |
Rs 3,600 |
App. money transferred to Share Capital 1,500 × Rs 2 |
= |
Rs 3,000 |
Excess money on application |
|
600 |
Allotment due 1,500 × Rs 3 |
= |
4,500 |
Less: Excess money on application |
= |
600 |
|
|
3,900 |
Less: Amount received on allotment |
|
3,000 |
Calls-in-Arrears on allotment by S |
|
900 |
Calls-in-Arrears on First and Final Call 1,500 Share × Rs 4 = Rs 6,000
Calls-in-Arrears to be credited at the time of share forfeiture |
= |
900 + 6,000 |
|
= |
Rs 6,900 |
Share Allotment
Share Allotment due 30,000 shares × Rs 3 |
= |
90,000 |
Less: Excess application money to be adjusted on allotment |
= |
12,000 |
|
|
78,000 |
Less: Calls-in-Arrears by M |
= |
5,200 |
Less: Calls-in-Arrears by S |
= |
900 |
Money received on Share Allotment |
= |
71,900 |
Share First and Final Call
Share First and Final Call due 28,000 × 4 |
= |
1,12,000 |
Less: Calls-in-Arrears by S |
= |
6,000 |
Money received on First and Final Call |
= |
1,06,000 |
Page No 7.125:
Question 95:
Issued capital 30,000 equity shares of Rs 10 each at a discount Re 1 per share
Applied 40,000 shares
Allotment made as: |
|
Payable as: |
|
|
||
Applied |
|
Allotted |
|
Application |
Rs 2 |
|
4,000 |
|
NIL |
|
Allotment |
Rs 3 |
(4–1) |
36,000 |
|
30,000 |
|
First and Final Call |
Rs 4 |
|
40,000 |
|
30,000 |
|
|
Rs 9 |
(10–1) |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Application A/c |
|
|
80,000 |
|
|
(Share application money received for 40,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Capital A/c |
|
|
60,000 |
|
|
To Equity Share Allotment A/c |
|
|
12,000 |
|
|
To Bank A/c |
|
|
8,000 |
|
|
(Share application at Rs 2 each on 30,000 shares transferred to Share Capital, Rs 12,000 adjusted on allotment and Rs 8,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
90,000 |
|
|
Discount on issue of share A/c |
Dr. |
|
30,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
(Share allotment due on 30,000 shares at Rs 3 each after a discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
71,900 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
6,100 |
|
|
To Equity Share Allotment A/c |
|
|
78,000 |
|
|
(Share allotment money received and default in payment transferred Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
12,000 |
|
|
To Share Forfeiture A/c |
|
|
4,800 |
|
|
To Discount on Issue of Shares A/c |
|
|
2,000 |
|
|
To Calls-in-Arrears A/c |
|
|
5,200 |
|
|
(2,000 shares held by M forfeited for non-payment of allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share first and Final Call A/c |
Dr. |
|
1,12,000 |
|
|
To Equity Share Capital A/c |
|
|
1,12,000 |
|
|
(First and final call due on 28,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,06,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
14,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
1,20,000 |
|
|
(First and final call received and default in payment transferred to Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
15,000 |
|
|
To Share Forfeiture A/c |
|
|
6,600 |
|
|
To Discount on issue of Shares A/c |
|
|
1,500 |
|
|
To Calls-in-Arrears A/c |
|
|
6,900 |
|
|
(1,500 shares held by S forfeited for non- payment of allotment and call) |
|
|
|
|
|
|
|
|
|
Working Notes-
Number of shares allotted to M |
= |
|
|
= |
2,000 shares |
Number of shares applied by S |
= |
|
|
= |
1,800 shares |
M’s Shares |
||
Money received on application 2,400 × Rs 2 |
= |
Rs 4,800 |
Less: App. money transferred to Share Capital 2000 × Rs 2 |
= |
Rs 4,000 |
Excess money on application |
|
800 |
Allotment due on 2,000 × Rs 3 |
= |
6,000 |
Less: Excess money on application |
= |
800 |
Calls-in-Arrears on allotment by M |
|
5,200 |
S’s Shares |
||
Money received on application 1,800 × Rs 2 |
= |
Rs 3,600 |
App. money transferred to Share Capital 1,500 × Rs 2 |
= |
Rs 3,000 |
Excess money on application |
|
600 |
Allotment due 1,500 × Rs 3 |
= |
4,500 |
Less: Excess money on application |
= |
600 |
|
|
3,900 |
Less: Amount received on allotment |
|
3,000 |
Calls-in-Arrears on allotment by S |
|
900 |
Calls-in-Arrears on First and Final Call 1,500 Share × Rs 4 = Rs 6,000
Calls-in-Arrears to be credited at the time of share forfeiture |
= |
900 + 6,000 |
|
= |
Rs 6,900 |
Share Allotment
Share Allotment due 30,000 shares × Rs 3 |
= |
90,000 |
Less: Excess application money to be adjusted on allotment |
= |
12,000 |
|
|
78,000 |
Less: Calls-in-Arrears by M |
= |
5,200 |
Less: Calls-in-Arrears by S |
= |
900 |
Money received on Share Allotment |
= |
71,900 |
Share First and Final Call
Share First and Final Call due 28,000 × 4 |
= |
1,12,000 |
Less: Calls-in-Arrears by S |
= |
6,000 |
Money received on First and Final Call |
= |
1,06,000 |
Answer:
Issued 1,00,000 Shares
Applied 2,00,000 Shares
Allotment made as: |
|
Payable as: |
|
|
||
Applied |
|
Allotted |
|
Application |
Rs 200 |
per share |
50,000 |
|
NIL |
|
Allotment |
Rs 300 |
(200 + 100) per share |
1,50,000 |
|
1,00,000 |
|
Share First and Final Call |
Rs 100 |
per share |
2,00,000 |
|
1,00,000 |
|
|
Rs 600 |
(500+100) per share |
Books of Veer Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,00,00,000 |
|
|
To Equity Share Application A/c |
|
|
4,00,00,000 |
|
|
(Application money received for 2,00,000 shares at Rs 200 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
4,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
To Equity Shares Allotment A/c |
|
|
1,00,00,000 |
|
|
To Bank A/c |
|
|
1,00,00,000 |
|
|
(Application money of 1,00,000 shares transferred to Shares Capital, 50,000 shares money refunded and remaining money adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
3,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,00,000 |
|
|
(Allotment due on 1,00,000 shares at Rs 300 each including Rs 100 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
2,00,00,000 |
|
|
(Share allotment received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
1,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,00,000 |
|
|
(First and Final call due on 1,00,000 shares at Rs 100 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,90,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
10,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
1,00,00,000 |
|
|
(First and final call received on 99,900 shares at Rs 100 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
50,000 |
|
|
To Share Forfeiture A/c |
|
|
40,000 |
|
|
To Calls-in-Arrears A/c |
|
|
10,000 |
|
|
(100 shares of Rs 500 each forfeited) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
50,000 |
|
|
To Securities Premium A/c |
|
|
10,000 |
|
|
(100 shares of Rs 500 each re-issued for the sum of Rs 60,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
40,000 |
|
|
To Capital Reserve A/c |
|
|
40,000 |
|
|
(Share Forfeiture 100 shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
|
Share Forfeiture Cr. |
Rs 40,000 |
Share Forfeiture Dr. |
NIL |
Balance in Share Forfeiture after re-issue |
Rs 40,000 |
Capital Reserve = Balance in Share Forfeiture after re-issue = Rs 40,000
Page No 7.125:
Question 96:
Issued 1,00,000 Shares
Applied 2,00,000 Shares
Allotment made as: |
|
Payable as: |
|
|
||
Applied |
|
Allotted |
|
Application |
Rs 200 |
per share |
50,000 |
|
NIL |
|
Allotment |
Rs 300 |
(200 + 100) per share |
1,50,000 |
|
1,00,000 |
|
Share First and Final Call |
Rs 100 |
per share |
2,00,000 |
|
1,00,000 |
|
|
Rs 600 |
(500+100) per share |
Books of Veer Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,00,00,000 |
|
|
To Equity Share Application A/c |
|
|
4,00,00,000 |
|
|
(Application money received for 2,00,000 shares at Rs 200 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
4,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
To Equity Shares Allotment A/c |
|
|
1,00,00,000 |
|
|
To Bank A/c |
|
|
1,00,00,000 |
|
|
(Application money of 1,00,000 shares transferred to Shares Capital, 50,000 shares money refunded and remaining money adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
3,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
To Securities Premium A/c |
|
|
1,00,00,000 |
|
|
(Allotment due on 1,00,000 shares at Rs 300 each including Rs 100 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
2,00,00,000 |
|
|
(Share allotment received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
1,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,00,000 |
|
|
(First and Final call due on 1,00,000 shares at Rs 100 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,90,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
10,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
1,00,00,000 |
|
|
(First and final call received on 99,900 shares at Rs 100 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
50,000 |
|
|
To Share Forfeiture A/c |
|
|
40,000 |
|
|
To Calls-in-Arrears A/c |
|
|
10,000 |
|
|
(100 shares of Rs 500 each forfeited) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
60,000 |
|
|
To Equity Share Capital A/c |
|
|
50,000 |
|
|
To Securities Premium A/c |
|
|
10,000 |
|
|
(100 shares of Rs 500 each re-issued for the sum of Rs 60,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
40,000 |
|
|
To Capital Reserve A/c |
|
|
40,000 |
|
|
(Share Forfeiture 100 shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
|
Share Forfeiture Cr. |
Rs 40,000 |
Share Forfeiture Dr. |
NIL |
Balance in Share Forfeiture after re-issue |
Rs 40,000 |
Capital Reserve = Balance in Share Forfeiture after re-issue = Rs 40,000
Answer:
Issued capital 8,000 shares of 100 each at discount Rs 6
Applied 10,000 shares
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 30 |
per share |
9,000 |
|
8,000 |
|
Allotment |
Rs 40 |
(46 – 6) per share |
1,000 |
|
NIL |
|
First and Final Call |
Rs 24 |
per share |
10,000 |
|
8,000 |
|
|
Rs 94 |
(100–6) per share |
Mehta Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,00,000 |
|
|
To Share Application A/c |
|
|
3,00,000 |
|
|
(Share application received for 10,000 shares at Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
3,00,000 |
|
|
To Share Capital A/c |
|
|
2,40,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
To Bank A/c |
|
|
30,000 |
|
|
(Share application 8,000 shares transferred to Share Capital, Rs 30,000 adjusted on allotment and remaining Rs 30,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
3,20,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
48,000 |
|
|
To Share Capital A/c |
|
|
3,68,000 |
|
|
(Allotment due on 8,000 shares at Rs 40 each after a discount of Rs 6) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,90,000 |
|
|
To Share Allotment A/c |
|
|
2,90,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
1,92,000 |
|
|
To Share Capital A/c |
|
|
1,92,000 |
|
|
(Share first and final call due on 8,000 shares at Rs 24 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,82,400 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
9,600 |
|
|
To Share First and Final Call A/c |
|
|
1,92,000 |
|
|
(First and final call received on 7,600 shares at Rs 24 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
40,000 |
|
|
To Share Forfeiture A/c |
|
|
28,000 |
|
|
To Discount on Issue of Shares A/c |
|
|
2,400 |
|
|
To Calls-in-Arrears A/c (400 × Rs 24) |
|
|
9,600 |
|
|
(400 shares of Rs 100 at a discount of Rs 6, forfeited for the non-payment of Rs 24) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
42,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
(400 shares of 100 each re-issued for the sum of Rs 42,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
28,000 |
|
|
To Capital Reserve A/c |
|
|
28,000 |
|
|
(Balance in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
1. Number of shares allotted to Suresh |
= |
|
|
= |
400 shares |
2. Share Forfeiture of re-issued shares |
|
Share Forfeiture Cr. |
Rs 28,000 |
Share Forfeiture Dr. |
NIL |
Balance in Share Forfeiture after re-issue |
Rs 28,000 |
Capital Reserve = Balance in Share Forfeiture after re-issue = Rs 28,000
Page No 7.125:
Question 97:
Issued capital 8,000 shares of 100 each at discount Rs 6
Applied 10,000 shares
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 30 |
per share |
9,000 |
|
8,000 |
|
Allotment |
Rs 40 |
(46 – 6) per share |
1,000 |
|
NIL |
|
First and Final Call |
Rs 24 |
per share |
10,000 |
|
8,000 |
|
|
Rs 94 |
(100–6) per share |
Mehta Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,00,000 |
|
|
To Share Application A/c |
|
|
3,00,000 |
|
|
(Share application received for 10,000 shares at Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
3,00,000 |
|
|
To Share Capital A/c |
|
|
2,40,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
To Bank A/c |
|
|
30,000 |
|
|
(Share application 8,000 shares transferred to Share Capital, Rs 30,000 adjusted on allotment and remaining Rs 30,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
3,20,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
48,000 |
|
|
To Share Capital A/c |
|
|
3,68,000 |
|
|
(Allotment due on 8,000 shares at Rs 40 each after a discount of Rs 6) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,90,000 |
|
|
To Share Allotment A/c |
|
|
2,90,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
1,92,000 |
|
|
To Share Capital A/c |
|
|
1,92,000 |
|
|
(Share first and final call due on 8,000 shares at Rs 24 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,82,400 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
9,600 |
|
|
To Share First and Final Call A/c |
|
|
1,92,000 |
|
|
(First and final call received on 7,600 shares at Rs 24 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
40,000 |
|
|
To Share Forfeiture A/c |
|
|
28,000 |
|
|
To Discount on Issue of Shares A/c |
|
|
2,400 |
|
|
To Calls-in-Arrears A/c (400 × Rs 24) |
|
|
9,600 |
|
|
(400 shares of Rs 100 at a discount of Rs 6, forfeited for the non-payment of Rs 24) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
42,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
(400 shares of 100 each re-issued for the sum of Rs 42,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
28,000 |
|
|
To Capital Reserve A/c |
|
|
28,000 |
|
|
(Balance in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
1. Number of shares allotted to Suresh |
= |
|
|
= |
400 shares |
2. Share Forfeiture of re-issued shares |
|
Share Forfeiture Cr. |
Rs 28,000 |
Share Forfeiture Dr. |
NIL |
Balance in Share Forfeiture after re-issue |
Rs 28,000 |
Capital Reserve = Balance in Share Forfeiture after re-issue = Rs 28,000
Answer:
Issued 1,00,000 Equity Share of Rs 500 each at discount of Rs 50
Applied 2,00,000 Shares
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 100 |
per share |
1,50,000 |
|
1,00,000 |
|
Allotment |
Rs 150 |
(200–50) per share |
50,000 |
|
NIL |
|
First and Final Call |
Rs 200 |
per share |
2,00,000 |
|
1,00,000 |
|
|
Rs 450 |
(500–50) per share |
Books of Raja Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Application A/c |
|
|
2,00,00,000 |
|
|
(Share application money received for 2,00,000 shares of Rs 100 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
50,00,000 |
|
|
To Bank A/c |
|
|
50,00,000 |
|
|
(Application money of 1,00,000 shares transferred to Share Capital and Rs 50,00,000 adjusted on allotment and remaining Rs 50,00,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,00,000 |
|
|
Equity Share Allotment A/c |
Dr. |
|
1,50,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
(Share allotment due on 1,00,000 shares at Rs 150 each after discount Rs 50) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,00,00,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
(First and final call due on 1,00,000 shares at Rs 200 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,99,60,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
40,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
2,00,00,000 |
|
|
(First and final call received on 99,800 shares at Rs 200 each and money of 200 shares were in default transferred to Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,00,000 |
|
|
To Shares Forfeiture A/c |
|
|
50,000 |
|
|
To Discount on Issue of Shares A/c |
|
|
10,000 |
|
|
To Calls-in-Arrears A/c |
|
|
40,000 |
|
|
(200 shares forfeited for the non-payment of Rs 200 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
95,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
5,000 |
|
|
To Equity Shares Capital A/c |
|
|
1,00,000 |
|
|
(200 shares of Rs 500 each re-issued for the sum of Rs 95,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
50,000 |
|
|
To Capital Reserve A/c |
|
|
50,000 |
|
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
|
Share Forfeiture Cr. |
Rs 50,000 |
Share Forfeiture Dr. |
NIL |
Balance in Share Forfeiture after re-issue |
Rs 50,000 |
Capital Reserve = Balance in Share Forfeiture after re-issue = Rs 50,000
Page No 7.126:
Question 98:
Issued 1,00,000 Equity Share of Rs 500 each at discount of Rs 50
Applied 2,00,000 Shares
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 100 |
per share |
1,50,000 |
|
1,00,000 |
|
Allotment |
Rs 150 |
(200–50) per share |
50,000 |
|
NIL |
|
First and Final Call |
Rs 200 |
per share |
2,00,000 |
|
1,00,000 |
|
|
Rs 450 |
(500–50) per share |
Books of Raja Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Application A/c |
|
|
2,00,00,000 |
|
|
(Share application money received for 2,00,000 shares of Rs 100 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
50,00,000 |
|
|
To Bank A/c |
|
|
50,00,000 |
|
|
(Application money of 1,00,000 shares transferred to Share Capital and Rs 50,00,000 adjusted on allotment and remaining Rs 50,00,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Discount on Issue of Shares A/c |
Dr. |
|
50,00,000 |
|
|
Equity Share Allotment A/c |
Dr. |
|
1,50,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
(Share allotment due on 1,00,000 shares at Rs 150 each after discount Rs 50) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,00,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,00,00,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
2,00,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,00,000 |
|
|
(First and final call due on 1,00,000 shares at Rs 200 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,99,60,000 |
|
|
Calls-in-Arrears A/c |
Dr. |
|
40,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
2,00,00,000 |
|
|
(First and final call received on 99,800 shares at Rs 200 each and money of 200 shares were in default transferred to Calls-in-Arrears) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,00,000 |
|
|
To Shares Forfeiture A/c |
|
|
50,000 |
|
|
To Discount on Issue of Shares A/c |
|
|
10,000 |
|
|
To Calls-in-Arrears A/c |
|
|
40,000 |
|
|
(200 shares forfeited for the non-payment of Rs 200 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
95,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
5,000 |
|
|
To Equity Shares Capital A/c |
|
|
1,00,000 |
|
|
(200 shares of Rs 500 each re-issued for the sum of Rs 95,000) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
50,000 |
|
|
To Capital Reserve A/c |
|
|
50,000 |
|
|
(Balance in Share Forfeiture Account after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Share Forfeiture of re-issued shares |
|
Share Forfeiture Cr. |
Rs 50,000 |
Share Forfeiture Dr. |
NIL |
Balance in Share Forfeiture after re-issue |
Rs 50,000 |
Capital Reserve = Balance in Share Forfeiture after re-issue = Rs 50,000
Answer:
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Bank A/c (3×70,000) |
Dr. |
|
2,10,000 |
|
|
|
To Equity Share Application A/c |
|
|
|
2,10,000 |
|
|
(Application money on 70,000 shares received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
2,10,000 |
|
|
|
To Equity Share Capital A/c (3×50,000) |
|
|
|
1,50,000 |
|
|
To Equity Share Allotment A/c (WN2) |
|
|
|
60,000 |
|
|
(Share Application money on 50,000 shares transferred to share capital account and excess was utilised on allotment) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,50,000 |
|
|
|
To Equity Share Capital A/c |
|
|
|
2,50,000 |
|
|
(Allotment money due on allotment) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (WN2) |
Dr. |
|
1,88,100 |
|
|
|
To Equity Share Allotment A/c |
|
|
|
1,88,100 |
|
|
(Allotment money received on 49,500 shares and Rs 60,000 excess money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
4,000 |
|
|
|
To Equity Share Allotment A/c(WN1) |
|
|
|
1,900 |
|
|
To Equity Share Forfeiture A/c(WN1) |
|
|
|
2,100 |
|
|
(500 shares forfeited for non payment of allotment money |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
99,000 |
|
|
|
To Equity Share Capital A/c |
|
|
|
99,000 |
|
|
(Share Call money due) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
|
99,000 |
|
|
(Call money received on 49,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
5,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
|
1,000 |
|
|
To Equity Share Forfeiture A/c (8×500) |
|
|
|
4,000 |
|
|
(500 shares forfeited for non payment of Call money) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,200 |
|
|
|
Equity Share Forfeiture A/c |
Dr. |
|
1,800 |
|
|
|
To Equity Share Capital |
|
|
|
9,000 |
|
|
(900 shares reissued at Rs 8 per share) |
|
|
|
|
|
|
(Share call money received and Calls-in-Advance money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c (WN3) |
Dr. |
|
3,500 |
|
|
|
To Capital Reserve A/c |
|
|
|
3,500 |
|
|
(Profit on forfeiture of shares transferred) |
|
|
|
|
|
|
|
|
|
|
|
Working Note:
Page No 7.126:
Question 99:
Journal |
|
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
||
|
Bank A/c (3×70,000) |
Dr. |
|
2,10,000 |
|
|
|
To Equity Share Application A/c |
|
|
|
2,10,000 |
|
|
(Application money on 70,000 shares received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
2,10,000 |
|
|
|
To Equity Share Capital A/c (3×50,000) |
|
|
|
1,50,000 |
|
|
To Equity Share Allotment A/c (WN2) |
|
|
|
60,000 |
|
|
(Share Application money on 50,000 shares transferred to share capital account and excess was utilised on allotment) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,50,000 |
|
|
|
To Equity Share Capital A/c |
|
|
|
2,50,000 |
|
|
(Allotment money due on allotment) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (WN2) |
Dr. |
|
1,88,100 |
|
|
|
To Equity Share Allotment A/c |
|
|
|
1,88,100 |
|
|
(Allotment money received on 49,500 shares and Rs 60,000 excess money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
4,000 |
|
|
|
To Equity Share Allotment A/c(WN1) |
|
|
|
1,900 |
|
|
To Equity Share Forfeiture A/c(WN1) |
|
|
|
2,100 |
|
|
(500 shares forfeited for non payment of allotment money |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
99,000 |
|
|
|
To Equity Share Capital A/c |
|
|
|
99,000 |
|
|
(Share Call money due) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
99,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
|
99,000 |
|
|
(Call money received on 49,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
5,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
|
1,000 |
|
|
To Equity Share Forfeiture A/c (8×500) |
|
|
|
4,000 |
|
|
(500 shares forfeited for non payment of Call money) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
7,200 |
|
|
|
Equity Share Forfeiture A/c |
Dr. |
|
1,800 |
|
|
|
To Equity Share Capital |
|
|
|
9,000 |
|
|
(900 shares reissued at Rs 8 per share) |
|
|
|
|
|
|
(Share call money received and Calls-in-Advance money adjusted) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c (WN3) |
Dr. |
|
3,500 |
|
|
|
To Capital Reserve A/c |
|
|
|
3,500 |
|
|
(Profit on forfeiture of shares transferred) |
|
|
|
|
|
|
|
|
|
|
|
Working Note:
Answer:
Authorised capital 2,000 shares of Rs 100 each.
Issued 1,000 shares of Rs 100 each at premium of Rs 5
Applied 1,800 shares
Allotment made as: |
|
Amount payable per shares as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 10 |
|
1,500 |
|
1,000 |
|
Allotment |
Rs 25 |
(20 + 5) |
300 |
|
NIL |
|
First Call |
Rs 40 |
|
|
|
|
|
|
Rs 75 |
Called-up |
|
|
|
|
Final Call |
Rs 30 |
|
1,800 |
|
1,000 |
|
|
Rs 105 |
|
Books of XYZ Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
15,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
To Share Allotment A/c |
|
|
5,000 |
|
|
(Share application of 1,000 shares transferred to Share Capital, Rs 5,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
25,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
|
To Securities Premium A/c |
|
|
5,000 |
|
|
(Share allotment due on 1,000 shares at Rs 25 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(First call due on 1,000 shares at Rs 40 each) |
|
|
|
|
|
|
|
|
|
|
|
Securities Premium A/c |
Dr. |
|
500 |
|
|
Share Capital A/c |
Dr. |
|
7,000 |
|
|
To Share Forfeiture A/c |
|
|
1,500 |
|
|
To Share Allotment A/c |
|
|
2,000 |
|
|
To Share First Call A/c |
|
|
4,000 |
|
|
(100 shares of Rs 100 each Rs 70 called–up, forfeited for the non-payment of allotment and first call) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 100 each re-issued at Rs 60 per share, Rs 70 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Capital Reserve A/c |
|
|
500 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
Bank Rs |
Date |
Particulars |
Bank Rs |
||
|
|
|
|
|
|
||
|
Share Application |
18,000 |
|
Share Application |
3,000 |
||
|
Share Allotment |
18,000 |
|
|
|
||
|
Share First Call |
36,000 |
|
|
|
||
|
Share Capital |
6,000 |
|
Balance c/d |
75,000 |
||
|
|
78,000 |
|
|
78,000 |
||
|
|
|
|
|
|
Working Notes:
Number of share applied by Sunder |
= |
|
|
= |
150 shares |
Sunder
Money received on application 150 × Rs 10 |
= |
1,500 |
Money transferred to Share Capital 100 × Rs 10 |
= |
1,000 |
Excess Money on application |
|
500 |
Share allotment due 100 × Rs 25 |
= |
2,500 |
Less: Excess money on application |
= |
500 |
Calls-in-Arrears on Allotment |
|
2,000 |
Allotment
Allotment due on all shares 1,000 × Rs 25 |
= |
25,000 |
Less: Adjustment of excess money on application |
= |
5,000 |
|
|
20,000 |
Less: Calls-in-Arrears by Sunder |
= |
2,000 |
Money received on allotment |
= |
18,000 |
Capital Reserve
Share Forfeiture |
Cr. |
1,500 |
Less: Share Forfeiture |
Dr. |
1,000 |
Balance in Share Forfeiture after reissue |
|
500 |
Capital Reserve = Balance in Share Forfeiture after re-issue
= Rs 500
Page No 7.126:
Question 100:
Authorised capital 2,000 shares of Rs 100 each.
Issued 1,000 shares of Rs 100 each at premium of Rs 5
Applied 1,800 shares
Allotment made as: |
|
Amount payable per shares as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 10 |
|
1,500 |
|
1,000 |
|
Allotment |
Rs 25 |
(20 + 5) |
300 |
|
NIL |
|
First Call |
Rs 40 |
|
|
|
|
|
|
Rs 75 |
Called-up |
|
|
|
|
Final Call |
Rs 30 |
|
1,800 |
|
1,000 |
|
|
Rs 105 |
|
Books of XYZ Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
15,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
To Share Allotment A/c |
|
|
5,000 |
|
|
(Share application of 1,000 shares transferred to Share Capital, Rs 5,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
25,000 |
|
|
To Share Capital A/c |
|
|
20,000 |
|
|
To Securities Premium A/c |
|
|
5,000 |
|
|
(Share allotment due on 1,000 shares at Rs 25 each including Rs 5 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
40,000 |
|
|
To Share Capital A/c |
|
|
40,000 |
|
|
(First call due on 1,000 shares at Rs 40 each) |
|
|
|
|
|
|
|
|
|
|
|
Securities Premium A/c |
Dr. |
|
500 |
|
|
Share Capital A/c |
Dr. |
|
7,000 |
|
|
To Share Forfeiture A/c |
|
|
1,500 |
|
|
To Share Allotment A/c |
|
|
2,000 |
|
|
To Share First Call A/c |
|
|
4,000 |
|
|
(100 shares of Rs 100 each Rs 70 called–up, forfeited for the non-payment of allotment and first call) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
1,000 |
|
|
To Share Capital A/c |
|
|
1,000 |
|
|
(100 shares of Rs 100 each re-issued at Rs 60 per share, Rs 70 paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
500 |
|
|
To Capital Reserve A/c |
|
|
500 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
Bank Rs |
Date |
Particulars |
Bank Rs |
||
|
|
|
|
|
|
||
|
Share Application |
18,000 |
|
Share Application |
3,000 |
||
|
Share Allotment |
18,000 |
|
|
|
||
|
Share First Call |
36,000 |
|
|
|
||
|
Share Capital |
6,000 |
|
Balance c/d |
75,000 |
||
|
|
78,000 |
|
|
78,000 |
||
|
|
|
|
|
|
Working Notes:
Number of share applied by Sunder |
= |
|
|
= |
150 shares |
Sunder
Money received on application 150 × Rs 10 |
= |
1,500 |
Money transferred to Share Capital 100 × Rs 10 |
= |
1,000 |
Excess Money on application |
|
500 |
Share allotment due 100 × Rs 25 |
= |
2,500 |
Less: Excess money on application |
= |
500 |
Calls-in-Arrears on Allotment |
|
2,000 |
Allotment
Allotment due on all shares 1,000 × Rs 25 |
= |
25,000 |
Less: Adjustment of excess money on application |
= |
5,000 |
|
|
20,000 |
Less: Calls-in-Arrears by Sunder |
= |
2,000 |
Money received on allotment |
= |
18,000 |
Capital Reserve
Share Forfeiture |
Cr. |
1,500 |
Less: Share Forfeiture |
Dr. |
1,000 |
Balance in Share Forfeiture after reissue |
|
500 |
Capital Reserve = Balance in Share Forfeiture after re-issue
= Rs 500
Answer:
Issued Capital 1,00,000 equity shares of Rs 10 each at premium of Rs 2
Applied 2,00,000 equity shares
Payable as: |
Application |
Rs |
2.5 |
per share |
|
Allotment |
Rs |
4.5 |
(2.5+2) per share |
|
First and Final Call |
Rs |
5 |
per share |
|
|
Rs |
12 |
(10+2) per share |
Books Bhamashah Company Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Application A/c |
|
|
5,00,000 |
|
|
(Share application money received for 2,00,000 shares at Rs 2.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
To Equity Share Allotment A/c |
|
|
2,50,000 |
|
|
(Equity Share application of 1,00,000 shares transferred to Share Capital and remaining money adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
4,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
(Equity Share allotment due on 1,00,000 shares at Rs 4.5 each including an amount of Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,99,200 |
|
|
To Equity Share Allotment A/c |
|
|
1,99,200 |
|
|
(Share allotment received on all the shares except for 400 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(First and final call due on 1,00,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,98,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
4,98,000 |
|
|
First and final call received on all shares except for 400 share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
4,000 |
|
|
Securities Premium A/c |
Dr. |
|
800 |
|
|
To Share Forfeiture A/c |
|
|
2,000 |
|
|
To Equity Share Allotment A/c |
|
|
800 |
|
|
To Equity Share First and Final Call A/c |
|
|
2,000 |
|
|
(400 equity share forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (320 × Rs 8) |
Dr. |
|
2,560 |
|
|
Share Forfeiture A/c |
Dr. |
|
640 |
|
|
To Equity Share Capital A/c |
|
|
3,200 |
|
|
(320 shares of Rs 10 each re-issued at Rs 8 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
960 |
|
|
To Capital Reserve A/c |
|
|
960 |
|
|
(Share Forfeiture of 320 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Number of shares allotted to Ranu |
= |
|
|
= |
400 shares |
Ranu |
|
|
Money received on application (800 shares × Rs 2.5) |
= |
Rs 2,000 |
Less: Money transferred to Shares Capital (400 shares × Rs 2.5) |
= |
Rs 1,000 |
Excess money received on application |
= |
1,000 |
Allotment due Share × Rs 4.5 |
= |
1,800 |
Less: Excess money received on application |
= |
1,000 |
Calls-in-Arrears on allotment |
= |
800 |
Share Allotment
Share allotment due on all shares |
= |
4,50,000 |
Less: Share application adjusted |
= |
2,50,000 |
Less: Calls-in-Arrears |
= |
800 |
Money received on allotment |
|
1,99,200 |
Number of shares re-issued =
Capital Reserve of 320 shares
Share Forfeiture Cr =
Share Forfeiture |
Cr. |
Rs 5 |
per share |
Share Forfeiture |
Dr. |
Rs 2 |
per share |
Balance in Share Forfeiture after re-issue |
Cr. |
Rs 3 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue (per share) × No. of shares re-issued
= Rs 3 × 320 shares
= Rs 960
Page No 7.126:
Question 101:
Issued Capital 1,00,000 equity shares of Rs 10 each at premium of Rs 2
Applied 2,00,000 equity shares
Payable as: |
Application |
Rs |
2.5 |
per share |
|
Allotment |
Rs |
4.5 |
(2.5+2) per share |
|
First and Final Call |
Rs |
5 |
per share |
|
|
Rs |
12 |
(10+2) per share |
Books Bhamashah Company Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Application A/c |
|
|
5,00,000 |
|
|
(Share application money received for 2,00,000 shares at Rs 2.5 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
To Equity Share Allotment A/c |
|
|
2,50,000 |
|
|
(Equity Share application of 1,00,000 shares transferred to Share Capital and remaining money adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
4,50,000 |
|
|
To Equity Share Capital A/c |
|
|
2,50,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
(Equity Share allotment due on 1,00,000 shares at Rs 4.5 each including an amount of Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,99,200 |
|
|
To Equity Share Allotment A/c |
|
|
1,99,200 |
|
|
(Share allotment received on all the shares except for 400 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
5,00,000 |
|
|
To Equity Share Capital A/c |
|
|
5,00,000 |
|
|
(First and final call due on 1,00,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,98,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
4,98,000 |
|
|
First and final call received on all shares except for 400 share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
4,000 |
|
|
Securities Premium A/c |
Dr. |
|
800 |
|
|
To Share Forfeiture A/c |
|
|
2,000 |
|
|
To Equity Share Allotment A/c |
|
|
800 |
|
|
To Equity Share First and Final Call A/c |
|
|
2,000 |
|
|
(400 equity share forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c (320 × Rs 8) |
Dr. |
|
2,560 |
|
|
Share Forfeiture A/c |
Dr. |
|
640 |
|
|
To Equity Share Capital A/c |
|
|
3,200 |
|
|
(320 shares of Rs 10 each re-issued at Rs 8 per share as fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
960 |
|
|
To Capital Reserve A/c |
|
|
960 |
|
|
(Share Forfeiture of 320 re-issued shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Number of shares allotted to Ranu |
= |
|
|
= |
400 shares |
Ranu |
|
|
Money received on application (800 shares × Rs 2.5) |
= |
Rs 2,000 |
Less: Money transferred to Shares Capital (400 shares × Rs 2.5) |
= |
Rs 1,000 |
Excess money received on application |
= |
1,000 |
Allotment due Share × Rs 4.5 |
= |
1,800 |
Less: Excess money received on application |
= |
1,000 |
Calls-in-Arrears on allotment |
= |
800 |
Share Allotment
Share allotment due on all shares |
= |
4,50,000 |
Less: Share application adjusted |
= |
2,50,000 |
Less: Calls-in-Arrears |
= |
800 |
Money received on allotment |
|
1,99,200 |
Number of shares re-issued =
Capital Reserve of 320 shares
Share Forfeiture Cr =
Share Forfeiture |
Cr. |
Rs 5 |
per share |
Share Forfeiture |
Dr. |
Rs 2 |
per share |
Balance in Share Forfeiture after re-issue |
Cr. |
Rs 3 |
per share |
Capital Reserve = Balance in Share Forfeiture after re-issue (per share) × No. of shares re-issued
= Rs 3 × 320 shares
= Rs 960
Answer:
Issued capital 50,000 shares at Rs 10 each with a premium Rs 2
Applied shares 75,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 2 |
per share |
60,000 |
|
50,000 |
|
Allotment |
Rs 5 |
(3 + 2) per share |
15,000 |
|
NIL |
|
First Call |
Rs 2 |
per share |
|
|
|
|
Final Call |
Rs 3 |
per share |
75,000 |
|
50,000 |
|
|
Rs 12 |
(10 + 2) per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Application A/c |
|
|
1,50,000 |
|
|
(Share application money received for 75,000 shares of at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
20,000 |
|
|
To Bank A/c |
|
|
30,000 |
|
|
(Share application of 50,000 shares transferred to Share Capital, Rs 20,000 adjusted on allotment and balance money Rs 30,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
To securities Premium A/c |
|
|
1,00,000 |
|
|
(Share Allotment due on 50,000 shares at Rs 5 per share including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,20,800 |
|
|
To Equity Share Allotment A/c |
|
|
2,20,800 |
|
|
(Equity share allotment money received from 48,000 shares after adjusting excess money on application) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(First call due on 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
91,000 |
|
|
To Equity Share First Call A/c |
|
|
91,000 |
|
|
(First call received on 45,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
(Final call due on 50,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,36,500 |
|
|
To Equity Share Final Call A/c |
|
|
1,36,500 |
|
|
(Final call received on 45,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
Securities Premium A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
4,800 |
|
|
To Equity Share Allotment A/c |
|
|
9,200 |
|
|
To Equity Share First Call A/c |
|
|
4,000 |
|
|
To Equity Share Final Call A/c |
|
|
6,000 |
|
|
(2,000 shares held by A, forfeited for the non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
25,000 |
|
|
To Share Forfeiture A/c |
|
|
12,500 |
|
|
To Equity Share First Call A/c |
|
|
5,000 |
|
|
To Equity Share Final Call A/c |
|
|
7,500 |
|
|
(2,500 shares held by B forfeited, for non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
36,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
9,000 |
|
|
To Equity Share Capital A/c |
|
|
45,000 |
|
|
(4,500 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
8,300 |
|
|
To Capital Reserve A/c |
|
|
8,300 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
A’s Share
Number of shares applied = = 2,400 shares
Money received on application (2,400 shares × Rs 2) |
= |
Rs 4,800 |
Less: Money transferred to Share Capital (2,000 shares × Rs 2) |
= |
Rs 4,000 |
Excess money on application |
|
800 |
Allotment due (2,000 shares × Rs 5) |
= |
10,000 |
Less: Excess on money application |
= |
800 |
Calls-in-Arrears on Allotment |
|
9,200 |
Share Allotment
Share Allotment due (50,000 shares × Rs 5) |
= |
2,50,000 |
Less: Adjustment of excess application money |
= |
(20,000) |
Less: Calls-in-Arrears |
|
(9,200) |
Money received on Allotment |
|
2,20,800 |
Share First Call
Share First Call due (50,000 × Rs 2) |
= |
1,00,000 |
Less: Calls in Arrears on shares held by A (2,000 × Rs 2) |
= |
4,000 |
Less: Calls-in-Arrears on shares held by B (2,500 × Rs 2) |
= |
5,000 |
Amount received on Share First Call |
|
91,000 |
Share Final Call
Share Final Call due 50,000 Shares × Rs 3 |
= |
1,50,000 |
Less: Calls-in-Arrears on shares held by A (2,000 × Rs 3) |
= |
6,000 |
Less: Calls-in-Arrears on shares held by S (2,500 × Rs 3) |
= |
7,500 |
Money received on First Call |
|
1,36,500 |
Capital Reserve
Share Forfeiture Credit on A’s shares |
= |
4,800 |
(received from A) |
Share Forfeiture Credit on B’s share (2,500 × Rs 5) |
= |
12,500 |
(received from B excluding premium) |
Total Share Forfeiture Credit |
= |
17,300 |
|
Share Forfeiture Debit (4,500 shares × Rs 2) |
|
9,000 |
|
Balance in Share Forfeiture after re-issue |
|
8,300 |
|
Capital Reserve = Balance in Share Forfeiture after re-issue
= Rs 8,300
Page No 7.127:
Question 102:
Issued capital 50,000 shares at Rs 10 each with a premium Rs 2
Applied shares 75,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 2 |
per share |
60,000 |
|
50,000 |
|
Allotment |
Rs 5 |
(3 + 2) per share |
15,000 |
|
NIL |
|
First Call |
Rs 2 |
per share |
|
|
|
|
Final Call |
Rs 3 |
per share |
75,000 |
|
50,000 |
|
|
Rs 12 |
(10 + 2) per share |
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Application A/c |
|
|
1,50,000 |
|
|
(Share application money received for 75,000 shares of at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
20,000 |
|
|
To Bank A/c |
|
|
30,000 |
|
|
(Share application of 50,000 shares transferred to Share Capital, Rs 20,000 adjusted on allotment and balance money Rs 30,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
To securities Premium A/c |
|
|
1,00,000 |
|
|
(Share Allotment due on 50,000 shares at Rs 5 per share including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,20,800 |
|
|
To Equity Share Allotment A/c |
|
|
2,20,800 |
|
|
(Equity share allotment money received from 48,000 shares after adjusting excess money on application) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
1,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,00,000 |
|
|
(First call due on 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
91,000 |
|
|
To Equity Share First Call A/c |
|
|
91,000 |
|
|
(First call received on 45,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
(Final call due on 50,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,36,500 |
|
|
To Equity Share Final Call A/c |
|
|
1,36,500 |
|
|
(Final call received on 45,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
Securities Premium A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c |
|
|
4,800 |
|
|
To Equity Share Allotment A/c |
|
|
9,200 |
|
|
To Equity Share First Call A/c |
|
|
4,000 |
|
|
To Equity Share Final Call A/c |
|
|
6,000 |
|
|
(2,000 shares held by A, forfeited for the non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
25,000 |
|
|
To Share Forfeiture A/c |
|
|
12,500 |
|
|
To Equity Share First Call A/c |
|
|
5,000 |
|
|
To Equity Share Final Call A/c |
|
|
7,500 |
|
|
(2,500 shares held by B forfeited, for non-payment) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
36,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
9,000 |
|
|
To Equity Share Capital A/c |
|
|
45,000 |
|
|
(4,500 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
8,300 |
|
|
To Capital Reserve A/c |
|
|
8,300 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
A’s Share
Number of shares applied = = 2,400 shares
Money received on application (2,400 shares × Rs 2) |
= |
Rs 4,800 |
Less: Money transferred to Share Capital (2,000 shares × Rs 2) |
= |
Rs 4,000 |
Excess money on application |
|
800 |
Allotment due (2,000 shares × Rs 5) |
= |
10,000 |
Less: Excess on money application |
= |
800 |
Calls-in-Arrears on Allotment |
|
9,200 |
Share Allotment
Share Allotment due (50,000 shares × Rs 5) |
= |
2,50,000 |
Less: Adjustment of excess application money |
= |
(20,000) |
Less: Calls-in-Arrears |
|
(9,200) |
Money received on Allotment |
|
2,20,800 |
Share First Call
Share First Call due (50,000 × Rs 2) |
= |
1,00,000 |
Less: Calls in Arrears on shares held by A (2,000 × Rs 2) |
= |
4,000 |
Less: Calls-in-Arrears on shares held by B (2,500 × Rs 2) |
= |
5,000 |
Amount received on Share First Call |
|
91,000 |
Share Final Call
Share Final Call due 50,000 Shares × Rs 3 |
= |
1,50,000 |
Less: Calls-in-Arrears on shares held by A (2,000 × Rs 3) |
= |
6,000 |
Less: Calls-in-Arrears on shares held by S (2,500 × Rs 3) |
= |
7,500 |
Money received on First Call |
|
1,36,500 |
Capital Reserve
Share Forfeiture Credit on A’s shares |
= |
4,800 |
(received from A) |
Share Forfeiture Credit on B’s share (2,500 × Rs 5) |
= |
12,500 |
(received from B excluding premium) |
Total Share Forfeiture Credit |
= |
17,300 |
|
Share Forfeiture Debit (4,500 shares × Rs 2) |
|
9,000 |
|
Balance in Share Forfeiture after re-issue |
|
8,300 |
|
Capital Reserve = Balance in Share Forfeiture after re-issue
= Rs 8,300
Answer:
Issued capital 15,000 of Rs 100 each at a premium Rs 15 per share
Applied Share 18,000
Allotment made as: |
|
|
|
|||
Applied |
|
Allotted |
|
Payable as: |
|
|
800 |
|
– |
|
Application |
Rs 75 |
(60 + 15) per share |
2,200 |
|
2,200 |
|
Allotment |
Rs 20 |
per share |
15,000 |
|
12,800 |
|
First and Final Call |
Rs 20 |
per share |
18,000 |
|
15,000 |
|
|
Rs 115 |
(10 0 + 15) per share |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2013 |
|
|
|
|
|
|
Bank A/c |
Dr. |
|
13,50,000 |
|
|
To Equity Share Application |
|
|
13,50,000 |
|
|
(Share application money received for 18,000 shares at Rs 75 per share including Rs 15 premium) |
|
|
|
|
|
|
|
|
|
|
April 01 |
Equity Share Application A/c |
Dr. |
|
13,50,000 |
|
|
To Equity Share Capital A/c |
|
|
9,00,000 |
|
|
To Securities Premium A/c |
|
|
2,25,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,65,000 |
|
|
To Bank A/c |
|
|
60,000 |
|
|
(Application money of 15,000 share transferred to Share Capital, Rs 1,65,000 adjusted on allotment and the remaining Rs 60,000 refunded) |
|
|
|
|
|
|
|
|
|
|
April 30 |
Equity Share Allotment A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,00,000 |
|
|
(Share allotment due on 15,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,35,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,35,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
May 31 |
Equity Share First and Final Call A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,00,000 |
|
|
(First and final call due on 15,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,92,000 |
|
|
To Share First and Final Call A/c |
|
|
2,92,000 |
|
|
(First and Final call received on 14,600 shares) |
|
|
|
|
|
|
|
|
|
|
July 31 |
Equity Share Capital A/c |
Dr. |
|
40,000 |
|
|
To Share Forfeiture A/c (400 shares × Rs 80) |
|
|
32,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
8,000 |
|
|
(400 shares of Rs 100 each forfeited for the non-payment of Rs 20 per share) |
|
|
|
|
|
|
|
|
|
|
Sep 03 |
Bank A/c |
Dr. |
|
36,000 |
|
|
Share Forfeiture A/c (400 shares × Rs 10) |
Dr. |
|
4,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(400 shares of Rs 100 each re-issued at Rs 90 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
28,000 |
|
|
To Capital Reserve A/c |
|
|
28,000 |
|
|
(Balance in Share Forfeiture transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note
Share Forfeiture Credit (at the time of forfeiture of shares) |
32,000 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
4,000 |
Balance in share forfeiture after re-issue of shares |
28,000 |
Capital Reserve = Balance in Share Forfeiture of reissued shares
= Rs 28,000
Page No 7.127:
Question 103:
Issued capital 15,000 of Rs 100 each at a premium Rs 15 per share
Applied Share 18,000
Allotment made as: |
|
|
|
|||
Applied |
|
Allotted |
|
Payable as: |
|
|
800 |
|
– |
|
Application |
Rs 75 |
(60 + 15) per share |
2,200 |
|
2,200 |
|
Allotment |
Rs 20 |
per share |
15,000 |
|
12,800 |
|
First and Final Call |
Rs 20 |
per share |
18,000 |
|
15,000 |
|
|
Rs 115 |
(10 0 + 15) per share |
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2013 |
|
|
|
|
|
|
Bank A/c |
Dr. |
|
13,50,000 |
|
|
To Equity Share Application |
|
|
13,50,000 |
|
|
(Share application money received for 18,000 shares at Rs 75 per share including Rs 15 premium) |
|
|
|
|
|
|
|
|
|
|
April 01 |
Equity Share Application A/c |
Dr. |
|
13,50,000 |
|
|
To Equity Share Capital A/c |
|
|
9,00,000 |
|
|
To Securities Premium A/c |
|
|
2,25,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,65,000 |
|
|
To Bank A/c |
|
|
60,000 |
|
|
(Application money of 15,000 share transferred to Share Capital, Rs 1,65,000 adjusted on allotment and the remaining Rs 60,000 refunded) |
|
|
|
|
|
|
|
|
|
|
April 30 |
Equity Share Allotment A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,00,000 |
|
|
(Share allotment due on 15,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,35,000 |
|
|
To Equity Share Allotment A/c |
|
|
1,35,000 |
|
|
(Share allotment money received) |
|
|
|
|
|
|
|
|
|
|
May 31 |
Equity Share First and Final Call A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
3,00,000 |
|
|
(First and final call due on 15,000 shares at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,92,000 |
|
|
To Share First and Final Call A/c |
|
|
2,92,000 |
|
|
(First and Final call received on 14,600 shares) |
|
|
|
|
|
|
|
|
|
|
July 31 |
Equity Share Capital A/c |
Dr. |
|
40,000 |
|
|
To Share Forfeiture A/c (400 shares × Rs 80) |
|
|
32,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
8,000 |
|
|
(400 shares of Rs 100 each forfeited for the non-payment of Rs 20 per share) |
|
|
|
|
|
|
|
|
|
|
Sep 03 |
Bank A/c |
Dr. |
|
36,000 |
|
|
Share Forfeiture A/c (400 shares × Rs 10) |
Dr. |
|
4,000 |
|
|
To Equity Share Capital A/c |
|
|
40,000 |
|
|
(400 shares of Rs 100 each re-issued at Rs 90 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
28,000 |
|
|
To Capital Reserve A/c |
|
|
28,000 |
|
|
(Balance in Share Forfeiture transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note
Share Forfeiture Credit (at the time of forfeiture of shares) |
32,000 |
Less: Share Forfeiture Debit (at the time of re-issue shares) |
4,000 |
Balance in share forfeiture after re-issue of shares |
28,000 |
Capital Reserve = Balance in Share Forfeiture of reissued shares
= Rs 28,000
Answer:
Issued 1,000 equity shares of Rs 10 each
Applied 1,800 shares
Allotment made as: |
|
Amount payable per shares as: |
|||
Applied |
|
Allotted |
|
Application |
Rs 3 |
40,000 |
|
30,000 |
|
Allotment |
Rs 4 |
35,000 |
|
20,000 |
|
First Call |
Rs 3 |
1,800 |
|
1,000 |
|
|
Rs 10 |
Books of XYZ Limited Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,25,000 |
|
|
To Equity Share Application A/c |
|
|
2,25,000 |
|
|
(Share application money received for 75,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
2,25,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
To Equity Share Allotment A/c |
|
|
75,000 |
|
|
(Application money of 50,000 shares transferred to share capital and the remaining amount adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
(Share allotment due on 50,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,21,400 |
|
|
To Equity Share Allotment A/c |
|
|
1,21,400 |
|
|
(Share allotment received on 48,800 shares after adjusting the excess money on application) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c (1,200 × Rs 7) |
Dr. |
|
8,400 |
|
|
To Share Forfeiture A/c |
|
|
4,800 |
|
|
To Equity Share Allotment A/c |
|
|
3,600 |
|
|
(1,200 shares of Rs 10 each Rs 7 called-up forfeited for the non-payment of allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
1,46,400 |
|
|
To Equity Share Capital A/c |
|
|
1,46,400 |
|
|
(First and final call due on 48,800 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,45,200 |
|
|
To Equity Share First and Final Call A/c |
|
|
1,45,200 |
|
|
(Share first and call received 48,800 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c (400 × Rs 7) |
|
|
2,800 |
|
|
To Equity Shares First and Final Call A/c |
|
|
1,200 |
|
|
(400 shares forfeited for the non-payment of first and final call) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Equity Share Capital A/c |
|
|
10,000 |
|
|
(1,000 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
3,200 |
|
|
To Capital Reserve A/c |
|
|
3,200 |
|
|
(Balance of 1,000 re-issued shares in Share Forfeiture Account transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Notes-
Rumu’s Share
Number of shares applied = = 1,600 shares
Money received on Application 1,600 shares × Rs 3 |
= |
Rs 4,800 |
Money adjusted on Application 1,200 Shares × Rs 3 |
= |
Rs 3,600 |
Excess on Application |
|
Rs 1,200 |
Allotment due on 1,200 shares × Rs 4 |
= |
4,800 |
Less: Excess money on Application |
= |
1,200 |
Calls-in-Arrears on Allotment |
|
3,600 |
Share Allotment
Share Allotment due 50,000 shares × Rs 4 |
= |
2,00,000 |
Less: Excess money on application |
= |
75,000 |
|
|
1,25,000 |
Less: Calls-in-Arrears on Allotment |
= |
3,600 |
Money received on Allotment |
= |
1,21,400 |
Shamu’s Shares
Number of shares allotted to Shamu
First and Final Call
First and Final Call due; 48,800 shares × Rs 3 |
= |
1,46,400 |
Less: Calls-in-Arrears by Shamu; 400 shares × Rs 3 |
= |
1,200 |
Money received on of First and Final Call |
|
1,45,200 |
Capital Reserve
Shares re-issued out the shares forfeited from Ramu = 1,000 shares − Shamu’s shares
= 1,000 − 400
= 600 shares
on re-isssue Ramu’s shares:
Capital Reverse on re-issue of 600 shares forfeited from Ramu |
||||
Share Forfeiture Cr. |
= |
Rs |
4 |
|
Share Forfeiture Dr. |
= |
Rs |
2 |
|
Share Forfeiture after re-issued |
|
Rs |
2 |
per share |
Capital Reserve after re-issue of 600 shares = Share Forfeiture after re-issue (per share) × 600 shares
= Rs 2 × 600
= Rs 1,200
on re-isssue Shamu’s shares:
Share Forfeiture |
Cr. |
Rs 7 |
|
Share Forfeiture |
Dr. |
Rs 2 |
|
Share Forfeiture after re-issue |
Rs 5 |
per share |
Capital Reserve after re-issue of 400 shares = Share Forfeiture after re-issue (per share) × 600 shares
= Rs 5 × 400
= Rs 2,000
Total amount of Capital Reserve = Capital Reserve of 600 shares + Capital Reserve of 400 shares
Total amount of Capital Reserve |
= Capital Reserve of 600 shares + Capital Reserve of 400 shares |
|
= Rs 1,200 + Rs 2,000 |
|
= Rs 3,200 |
Page No 7.127:
Question 104:
Issued 1,000 equity shares of Rs 10 each
Applied 1,800 shares
Allotment made as: |
|
Amount payable per shares as: |
|||
Applied |
|
Allotted |
|
Application |
Rs 3 |
40,000 |
|
30,000 |
|
Allotment |
Rs 4 |
35,000 |
|
20,000 |
|
First Call |
Rs 3 |
1,800 |
|
1,000 |
|
|
Rs 10 |
Books of XYZ Limited Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,25,000 |
|
|
To Equity Share Application A/c |
|
|
2,25,000 |
|
|
(Share application money received for 75,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
2,25,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
To Equity Share Allotment A/c |
|
|
75,000 |
|
|
(Application money of 50,000 shares transferred to share capital and the remaining amount adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
(Share allotment due on 50,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,21,400 |
|
|
To Equity Share Allotment A/c |
|
|
1,21,400 |
|
|
(Share allotment received on 48,800 shares after adjusting the excess money on application) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c (1,200 × Rs 7) |
Dr. |
|
8,400 |
|
|
To Share Forfeiture A/c |
|
|
4,800 |
|
|
To Equity Share Allotment A/c |
|
|
3,600 |
|
|
(1,200 shares of Rs 10 each Rs 7 called-up forfeited for the non-payment of allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
1,46,400 |
|
|
To Equity Share Capital A/c |
|
|
1,46,400 |
|
|
(First and final call due on 48,800 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,45,200 |
|
|
To Equity Share First and Final Call A/c |
|
|
1,45,200 |
|
|
(Share first and call received 48,800 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
4,000 |
|
|
To Share Forfeiture A/c (400 × Rs 7) |
|
|
2,800 |
|
|
To Equity Shares First and Final Call A/c |
|
|
1,200 |
|
|
(400 shares forfeited for the non-payment of first and final call) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Equity Share Capital A/c |
|
|
10,000 |
|
|
(1,000 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
3,200 |
|
|
To Capital Reserve A/c |
|
|
3,200 |
|
|
(Balance of 1,000 re-issued shares in Share Forfeiture Account transferred to Capital Reserve Account) |
|
|
|
|
|
|
|
|
|
Working Notes-
Rumu’s Share
Number of shares applied = = 1,600 shares
Money received on Application 1,600 shares × Rs 3 |
= |
Rs 4,800 |
Money adjusted on Application 1,200 Shares × Rs 3 |
= |
Rs 3,600 |
Excess on Application |
|
Rs 1,200 |
Allotment due on 1,200 shares × Rs 4 |
= |
4,800 |
Less: Excess money on Application |
= |
1,200 |
Calls-in-Arrears on Allotment |
|
3,600 |
Share Allotment
Share Allotment due 50,000 shares × Rs 4 |
= |
2,00,000 |
Less: Excess money on application |
= |
75,000 |
|
|
1,25,000 |
Less: Calls-in-Arrears on Allotment |
= |
3,600 |
Money received on Allotment |
= |
1,21,400 |
Shamu’s Shares
Number of shares allotted to Shamu
First and Final Call
First and Final Call due; 48,800 shares × Rs 3 |
= |
1,46,400 |
Less: Calls-in-Arrears by Shamu; 400 shares × Rs 3 |
= |
1,200 |
Money received on of First and Final Call |
|
1,45,200 |
Capital Reserve
Shares re-issued out the shares forfeited from Ramu = 1,000 shares − Shamu’s shares
= 1,000 − 400
= 600 shares
on re-isssue Ramu’s shares:
Capital Reverse on re-issue of 600 shares forfeited from Ramu |
||||
Share Forfeiture Cr. |
= |
Rs |
4 |
|
Share Forfeiture Dr. |
= |
Rs |
2 |
|
Share Forfeiture after re-issued |
|
Rs |
2 |
per share |
Capital Reserve after re-issue of 600 shares = Share Forfeiture after re-issue (per share) × 600 shares
= Rs 2 × 600
= Rs 1,200
on re-isssue Shamu’s shares:
Share Forfeiture |
Cr. |
Rs 7 |
|
Share Forfeiture |
Dr. |
Rs 2 |
|
Share Forfeiture after re-issue |
Rs 5 |
per share |
Capital Reserve after re-issue of 400 shares = Share Forfeiture after re-issue (per share) × 600 shares
= Rs 5 × 400
= Rs 2,000
Total amount of Capital Reserve = Capital Reserve of 600 shares + Capital Reserve of 400 shares
Total amount of Capital Reserve |
= Capital Reserve of 600 shares + Capital Reserve of 400 shares |
|
= Rs 1,200 + Rs 2,000 |
|
= Rs 3,200 |
Answer:
Issued capital 40,000 shares of Rs 10 each at premium of Rs 2
Applied Rs 60,000 shares
Allotment made as: |
|
Payable as: |
|
|
||
Applied |
|
Allotted |
|
Application |
Rs 2 |
|
48,000 |
|
40,000 |
|
Allotment |
Rs 5 |
(3+2) |
12,000 |
|
NIL |
|
First Call |
Rs 2 |
|
60,000 |
|
40,000 |
|
Second and Final Call |
Rs 3 |
|
|
|
|
|
|
Rs12 |
(10+2) per share |
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Application A/c |
|
|
1,20,000 |
|
|
(Application money received for 60,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
To Equity Share Allotment A/c |
|
|
16,000 |
|
|
To Bank A/c |
|
|
24,000 |
|
|
(Share application of 40,000 shares transferred to share capital, Rs 16,000 adjusted on allotment and remaining Rs 24,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
To Securities Premium A/c |
|
|
80,000 |
|
|
(Share allotment due on 40,000 shares at Rs 5 each including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,76,640 |
|
|
To Equity Share Allotment A/c |
|
|
1,76,640 |
|
|
(Share allotment received on all shares except on 1,600 Shares held by Ram) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
(First call due on 40,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
72,800 |
|
|
To Equity Share First Call A/c |
|
|
72,800 |
|
|
(First call received on 36,400 shares and holders of 3,600 failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Second and Final Call A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
(Second and final call due on 40,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,09,200 |
|
|
To Equity Share second and Final Call A/c |
|
|
1,09,200 |
|
|
(Second and final call received on 36,400 shares and holders of 3,600 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
16,000 |
|
|
Securities Premium A/c |
Dr. |
|
3,200 |
|
|
To Share Forfeiture A/c |
|
|
3,840 |
|
|
To Equity Share Allotment A/c |
|
|
7,360 |
|
|
To Equity Share first Call A/c |
|
|
3,200 |
|
|
To Equity Share Second and Final Call A/c |
|
|
4,800 |
|
|
(1600 shares held by Ram forfeited for non-payment amount due including premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Forfeiture A/c |
|
|
10,000 |
|
|
To Equity Share First Call A/c |
|
|
4,000 |
|
|
To Equity Share Second and Final Call A/c |
|
|
6,000 |
|
|
(2,000 shares held by Shyam forfeited for non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
7,200 |
|
|
To Equity Share Capital A/c |
|
|
36,000 |
|
|
(3,600 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,640 |
|
|
To Capital Reserve A/c |
|
|
6,640 |
|
|
(Balance in Share Forfeiture transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes:
Ram’s shares
Number of shares applied by Ram
Money received on Application (1,920 shares × Rs 2) |
= |
Rs 3,840 |
Less: Application money transferred to Share Capital (1,600 shares × Rs 2) |
= |
Rs 3,200 |
Excess money on Application |
= |
Rs 640 |
Share Allotment due (1,600 shares × Rs 5) |
Rs |
8,000 |
Less: Excess money on Application |
Rs |
640 |
Calls-in-Arrears on Allotment |
Rs |
7,360 |
Share Allotment
Share Allotment due (40,000 shares × Rs 5) |
2,00,000 |
Less: Excess money on Application |
16,000 |
|
1,84,000 |
Less: Calls-in-Arrears by Ram |
7,360 |
Money received on Allotment |
1,76,640 |
Share First Call
Share First Call due (40,000 shares × Rs 2) |
80,000 |
Less: Calls-in-Arrears by Ram and Shyam (3,600 shares ×Rs 2) |
7,200 |
Money received on First Call |
72,800 |
Share Final Call
Share Final Call due 40,000 Shares × Rs 3 |
1,20,000 |
Less: Calls-in-Arrears by Ram and Shyam (3,600 shares × Rs 3) |
10,800 |
Money received on Second and Final Call |
1,09,200 |
Capital Reserve
Share Forfeiture on Ram’s shares (money received on application) |
3,840 |
|
Share Forfeiture on Shyam’s shares (2,000 shares × Rs 5) |
10,000 |
|
|
13,840 |
Cr. |
Less: Share Forfeiture |
7,200 |
Dr. |
Capital Reserve |
6,640 |
|
Page No 7.128:
Question 105:
Issued capital 40,000 shares of Rs 10 each at premium of Rs 2
Applied Rs 60,000 shares
Allotment made as: |
|
Payable as: |
|
|
||
Applied |
|
Allotted |
|
Application |
Rs 2 |
|
48,000 |
|
40,000 |
|
Allotment |
Rs 5 |
(3+2) |
12,000 |
|
NIL |
|
First Call |
Rs 2 |
|
60,000 |
|
40,000 |
|
Second and Final Call |
Rs 3 |
|
|
|
|
|
|
Rs12 |
(10+2) per share |
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Application A/c |
|
|
1,20,000 |
|
|
(Application money received for 60,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
To Equity Share Allotment A/c |
|
|
16,000 |
|
|
To Bank A/c |
|
|
24,000 |
|
|
(Share application of 40,000 shares transferred to share capital, Rs 16,000 adjusted on allotment and remaining Rs 24,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
To Securities Premium A/c |
|
|
80,000 |
|
|
(Share allotment due on 40,000 shares at Rs 5 each including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,76,640 |
|
|
To Equity Share Allotment A/c |
|
|
1,76,640 |
|
|
(Share allotment received on all shares except on 1,600 Shares held by Ram) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
80,000 |
|
|
To Equity Share Capital A/c |
|
|
80,000 |
|
|
(First call due on 40,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
72,800 |
|
|
To Equity Share First Call A/c |
|
|
72,800 |
|
|
(First call received on 36,400 shares and holders of 3,600 failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Second and Final Call A/c |
Dr. |
|
1,20,000 |
|
|
To Equity Share Capital A/c |
|
|
1,20,000 |
|
|
(Second and final call due on 40,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,09,200 |
|
|
To Equity Share second and Final Call A/c |
|
|
1,09,200 |
|
|
(Second and final call received on 36,400 shares and holders of 3,600 shares failed to pay it) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
16,000 |
|
|
Securities Premium A/c |
Dr. |
|
3,200 |
|
|
To Share Forfeiture A/c |
|
|
3,840 |
|
|
To Equity Share Allotment A/c |
|
|
7,360 |
|
|
To Equity Share first Call A/c |
|
|
3,200 |
|
|
To Equity Share Second and Final Call A/c |
|
|
4,800 |
|
|
(1600 shares held by Ram forfeited for non-payment amount due including premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
20,000 |
|
|
To Equity Share Forfeiture A/c |
|
|
10,000 |
|
|
To Equity Share First Call A/c |
|
|
4,000 |
|
|
To Equity Share Second and Final Call A/c |
|
|
6,000 |
|
|
(2,000 shares held by Shyam forfeited for non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,800 |
|
|
Share Forfeiture A/c |
Dr. |
|
7,200 |
|
|
To Equity Share Capital A/c |
|
|
36,000 |
|
|
(3,600 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
6,640 |
|
|
To Capital Reserve A/c |
|
|
6,640 |
|
|
(Balance in Share Forfeiture transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes:
Ram’s shares
Number of shares applied by Ram
Money received on Application (1,920 shares × Rs 2) |
= |
Rs 3,840 |
Less: Application money transferred to Share Capital (1,600 shares × Rs 2) |
= |
Rs 3,200 |
Excess money on Application |
= |
Rs 640 |
Share Allotment due (1,600 shares × Rs 5) |
Rs |
8,000 |
Less: Excess money on Application |
Rs |
640 |
Calls-in-Arrears on Allotment |
Rs |
7,360 |
Share Allotment
Share Allotment due (40,000 shares × Rs 5) |
2,00,000 |
Less: Excess money on Application |
16,000 |
|
1,84,000 |
Less: Calls-in-Arrears by Ram |
7,360 |
Money received on Allotment |
1,76,640 |
Share First Call
Share First Call due (40,000 shares × Rs 2) |
80,000 |
Less: Calls-in-Arrears by Ram and Shyam (3,600 shares ×Rs 2) |
7,200 |
Money received on First Call |
72,800 |
Share Final Call
Share Final Call due 40,000 Shares × Rs 3 |
1,20,000 |
Less: Calls-in-Arrears by Ram and Shyam (3,600 shares × Rs 3) |
10,800 |
Money received on Second and Final Call |
1,09,200 |
Capital Reserve
Share Forfeiture on Ram’s shares (money received on application) |
3,840 |
|
Share Forfeiture on Shyam’s shares (2,000 shares × Rs 5) |
10,000 |
|
|
13,840 |
Cr. |
Less: Share Forfeiture |
7,200 |
Dr. |
Capital Reserve |
6,640 |
|
Answer:
Issued Shares – 60,000 of Rs 10 each at a discount Re 1
Applied Shares – 90,000
Allotment made as: |
|
|
||||
Applied |
|
Allotted |
|
|
||
20,000 |
|
NIL |
|
Payable as: |
||
35,000 |
|
35,000 |
|
Application |
Rs 3 |
per share |
15,000 |
|
10,000 |
|
Allotment |
Rs 2 |
(3 – 1) per share |
20,000 |
|
15,000 |
|
First and Final Call |
Rs 4 |
per share |
90,000 |
|
60,000 |
|
|
Rs 9 |
(10 – 1) per share |
Books of M/s Blue Chips Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,70,000 |
|
|
To Share Application A/c |
|
|
2,70,000 |
|
|
(Share application money received for 90,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,70,000 |
|
|
To Share Capital A/c |
|
|
1,80,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
To Bank A/c |
|
|
60,000 |
|
|
(Application money of 60,000 shares at Rs 3 per share transferred to share capital, Rs 30,000 adjusted on allotment and remaining Rs 60,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,20,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
60,000 |
|
|
To Share Capital A/c |
|
|
1,80,000 |
|
|
(Share allotment due 20,000 shares at Rs 2 per share after deducting discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
89,100 |
|
|
To Share Allotment A/c |
|
|
89,100 |
|
|
(Allotment money received on 59,100 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
2,40,000 |
|
|
To Equity Share Capital A/c |
|
|
2,40,000 |
|
|
(First and final call due on 60,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,36,400 |
|
|
To Share First and Final Call A/c |
|
|
2,36,400 |
|
|
(First and final call received on 59,100 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
9,000 |
|
|
To Share Forfeiture A/c |
|
|
3,600 |
|
|
To Discount on Issue of Shares A/c |
|
|
900 |
|
|
To Share Allotment A/c |
|
|
900 |
|
|
To Share First and Final Call A/c |
|
|
3,600 |
|
|
(900 share of Rs 10 each forfeited for the non-payment amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
500 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,500 |
|
To Share Capital A/c | 5,000 | ||||
(500 shares of Rs 10 each which had originally issued at discount Re 1, reissued at Rs 6 per share) | |||||
Share Forfeiture A/c | Dr. | 500 | |||
|
To Capital Reserve A/c |
|
|
500 |
|
(Transfer of profit on reissue) | |||||
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
M/s Blue Chips Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
5,97,600 |
b. Reserves and Surplus |
2 |
(11,420) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
5,86,180 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
3 |
35,760 |
2. Current Assets |
4 |
5,50,420 |
Total |
|
5,86,180 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
60,000 shares of Rs 10 each |
6,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
59,600 shares of Rs 10 each |
5,96,000 |
|
|
Add: Shares Forfeited |
1,600 |
5,97,600 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
500 |
|
Statement of Profit & Loss |
11,920 | ||
11,420 | |||
|
|
|
|
3 |
Other Non-Current Assets |
|
|
|
Unamortised Discount on Issue of Shares |
35,760 |
|
|
|
|
|
4 |
Current Assets |
|
|
|
Cash at Bank |
5,38,500 |
|
Unamortised Discount on Issue of Shares |
11,920 | ||
5,50,420 | |||
|
|
|
Working Notes:
Mohan’s Shares
Number of shares applied
Money received on Application on (1,200 shares × Rs 3) |
= |
3,600 |
Less: Money transferred to Share Capital (900 shares × Rs 3) |
= |
2,700 |
Excess money on application |
|
900 |
Allotment due on 900 shares × Rs 2 |
= |
Rs |
1,800 |
Less: Excess money on Application |
= |
Rs |
900 |
Calls-in-Arrears on Allotment |
|
|
900 |
Share Allotment
Allotment due (60,000 Shares × Rs 2) |
1,20,000 |
Less: Money adjusted on allotment |
30,000 |
Less: Calls-in-Arrears on Mohan |
900 |
|
89,100 |
Capital Reserve
Share forfeiture of re-issued shares
Share Forfeiture (Cr.) (3600/900) |
= |
Rs 4 per share |
|
Share Forfeiture (Dr.) |
= |
Rs 3 per share |
(Loss on re-issue excluding discount Re 1) |
Share Forfeiture after re-issue |
= |
Re 1 per share |
|
Capital Reserve = Share Forfeiture after re-issue (per share) × No. of shares re-issued
= Re 1 × 500 shares = Rs 500
Discount on Issue
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 11,920 [59,600 / 5] for each year and has been shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 47,680 [59,600 – 11,920] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Page No 7.128:
Question 106:
Issued Shares – 60,000 of Rs 10 each at a discount Re 1
Applied Shares – 90,000
Allotment made as: |
|
|
||||
Applied |
|
Allotted |
|
|
||
20,000 |
|
NIL |
|
Payable as: |
||
35,000 |
|
35,000 |
|
Application |
Rs 3 |
per share |
15,000 |
|
10,000 |
|
Allotment |
Rs 2 |
(3 – 1) per share |
20,000 |
|
15,000 |
|
First and Final Call |
Rs 4 |
per share |
90,000 |
|
60,000 |
|
|
Rs 9 |
(10 – 1) per share |
Books of M/s Blue Chips Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,70,000 |
|
|
To Share Application A/c |
|
|
2,70,000 |
|
|
(Share application money received for 90,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
2,70,000 |
|
|
To Share Capital A/c |
|
|
1,80,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
To Bank A/c |
|
|
60,000 |
|
|
(Application money of 60,000 shares at Rs 3 per share transferred to share capital, Rs 30,000 adjusted on allotment and remaining Rs 60,000 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
1,20,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
60,000 |
|
|
To Share Capital A/c |
|
|
1,80,000 |
|
|
(Share allotment due 20,000 shares at Rs 2 per share after deducting discount Re 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
89,100 |
|
|
To Share Allotment A/c |
|
|
89,100 |
|
|
(Allotment money received on 59,100 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share First and Final Call A/c |
Dr. |
|
2,40,000 |
|
|
To Equity Share Capital A/c |
|
|
2,40,000 |
|
|
(First and final call due on 60,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,36,400 |
|
|
To Share First and Final Call A/c |
|
|
2,36,400 |
|
|
(First and final call received on 59,100 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
9,000 |
|
|
To Share Forfeiture A/c |
|
|
3,600 |
|
|
To Discount on Issue of Shares A/c |
|
|
900 |
|
|
To Share Allotment A/c |
|
|
900 |
|
|
To Share First and Final Call A/c |
|
|
3,600 |
|
|
(900 share of Rs 10 each forfeited for the non-payment amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,000 |
|
|
Discount on Issue of Shares A/c |
Dr. |
|
500 |
|
|
Share Forfeiture A/c |
Dr. |
|
1,500 |
|
To Share Capital A/c | 5,000 | ||||
(500 shares of Rs 10 each which had originally issued at discount Re 1, reissued at Rs 6 per share) | |||||
Share Forfeiture A/c | Dr. | 500 | |||
|
To Capital Reserve A/c |
|
|
500 |
|
(Transfer of profit on reissue) | |||||
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
M/s Blue Chips Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
5,97,600 |
b. Reserves and Surplus |
2 |
(11,420) |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
5,86,180 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
a. Other Non-Current Assets |
3 |
35,760 |
2. Current Assets |
4 |
5,50,420 |
Total |
|
5,86,180 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
60,000 shares of Rs 10 each |
6,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
59,600 shares of Rs 10 each |
5,96,000 |
|
|
Add: Shares Forfeited |
1,600 |
5,97,600 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Capital Reserve |
500 |
|
Statement of Profit & Loss |
11,920 | ||
11,420 | |||
|
|
|
|
3 |
Other Non-Current Assets |
|
|
|
Unamortised Discount on Issue of Shares |
35,760 |
|
|
|
|
|
4 |
Current Assets |
|
|
|
Cash at Bank |
5,38,500 |
|
Unamortised Discount on Issue of Shares |
11,920 | ||
5,50,420 | |||
|
|
|
Working Notes:
Mohan’s Shares
Number of shares applied
Money received on Application on (1,200 shares × Rs 3) |
= |
3,600 |
Less: Money transferred to Share Capital (900 shares × Rs 3) |
= |
2,700 |
Excess money on application |
|
900 |
Allotment due on 900 shares × Rs 2 |
= |
Rs |
1,800 |
Less: Excess money on Application |
= |
Rs |
900 |
Calls-in-Arrears on Allotment |
|
|
900 |
Share Allotment
Allotment due (60,000 Shares × Rs 2) |
1,20,000 |
Less: Money adjusted on allotment |
30,000 |
Less: Calls-in-Arrears on Mohan |
900 |
|
89,100 |
Capital Reserve
Share forfeiture of re-issued shares
Share Forfeiture (Cr.) (3600/900) |
= |
Rs 4 per share |
|
Share Forfeiture (Dr.) |
= |
Rs 3 per share |
(Loss on re-issue excluding discount Re 1) |
Share Forfeiture after re-issue |
= |
Re 1 per share |
|
Capital Reserve = Share Forfeiture after re-issue (per share) × No. of shares re-issued
= Re 1 × 500 shares = Rs 500
Discount on Issue
- Discount on Issue of Shares can be written off against Securities Premium or Statement of Profit & Loss within 3 or 5 years.
- In the above solution, the Discount is written off in 5 years i.e. Rs 11,920 [59,600 / 5] for each year and has been shown as a negative balance in the Reserves and Surplus. The balance of Discount i.e. 47,680 [59,600 – 11,920] is bifurcated as Current and Non-Current Assets.
- The answer given in the book is different from that of ours' as the amount of discount has been written-off as per the Revised Schedule VI of Companies Accounts.
Answer:
Issued shares 50,000 of Rs 10 each at a premium of Rs 2
Applied share 65,000
Allotment made as |
|
Payable as: |
|
|||
Applied |
|
Alloted |
|
Application |
Rs 5 |
(3 + 2) |
60,000 |
|
50,000 |
|
Allotment |
Rs 4 |
|
5,000 |
|
NIL |
|
First and Final Call |
Rs 3 |
|
65,000 |
|
50,000 |
|
|
Rs 12 |
(10 + 2) per share |
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share Application |
|
3,25,000 |
|
Equity Share Application |
|
25,000 |
|
Equity Share Allotment |
|
1,47,900 |
|
|
|
|
|
Equity Share First and Final Call |
|
1,47,900 |
|
Balance c/d |
|
6,02,100 |
|
Equity Share Capital |
|
6,300 |
|
|
|
|
|
|
|
6,27,100 |
|
|
|
6,27,100 |
|
|
|
|
|
|
|
|
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
To Securities Premium |
|
|
1,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
50,000 |
|
|
(Share application money of 50,000 shares transferred to share capital at Rs 3 each and to premium Rs 2 each and Rs 50,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
(Allotment due on 50,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
(First and final call due on 50,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
7,000 |
|
|
To Share Forfeiture A/c |
|
|
2,800 |
|
|
To Equity Share Allotment A/c |
|
|
2,100 |
|
|
To Equity Share First and Final A/c |
|
|
2,100 |
|
|
(700 shares of Rs 10 each forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
700 |
|
|
To Equity Share Capital A/c |
|
|
700 |
|
|
(Loss on issue Re 1 on 700 shares charged from the Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,100 |
|
|
To Capital Reserve A/c |
|
|
2,100 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Mr. Sharma’s Share
Number of shares applied by Mr Sharma
Money received on Application 840 shares × Rs 5 |
= |
4,200 |
Less: Money transferred to Share Capital 700 shares × Rs 3 |
= |
2,100 |
Less: Securities Premium 700 shares × Rs 2 |
= |
1,400 |
Excess money on Application |
|
700 |
Allotment due 700 shares × Rs 4 |
= |
2,800 |
Less: Excess money on Application |
|
700 |
Calls-in Arrears on Allotment |
|
2,100 |
Share Allotment
Share Allotment due 50,000 × Rs 4 |
= |
2,00,0000 |
Less: Excess money on Application |
= |
50,000 |
Less: Calls-in-Arrears |
= |
2,100 |
Money received on Application |
|
1,47,900 |
Share First and Final Call
Share First and Final Call due 50,000 Shares × Rs 3 |
= |
1,50,000 |
Less: Calls in Arrears on 700 shares × Rs 3 |
= |
2,100 |
Money received on First and Final Call |
|
1,47,900 |
Capital Reserve
Money received on Application from Mr Sharma |
= |
Rs 4,200 |
|
Less: Securities Premium 700 × Rs 2 |
= |
Rs 1,400 |
|
Share Forfeiture |
Cr. |
|
2,800 |
Share Forfeiture 700 × Re 1 |
Dr. |
|
700 |
Capital Reserve |
|
2,100 |
Page No 7.128:
Question 107:
Issued shares 50,000 of Rs 10 each at a premium of Rs 2
Applied share 65,000
Allotment made as |
|
Payable as: |
|
|||
Applied |
|
Alloted |
|
Application |
Rs 5 |
(3 + 2) |
60,000 |
|
50,000 |
|
Allotment |
Rs 4 |
|
5,000 |
|
NIL |
|
First and Final Call |
Rs 3 |
|
65,000 |
|
50,000 |
|
|
Rs 12 |
(10 + 2) per share |
Cash Book |
|||||||
Dr. |
|
Cr. |
|||||
Date |
Particulars |
L.F. |
Bank Rs |
Date |
Particulars |
L.F. |
Bank Rs |
|
|
|
|
|
|
|
|
|
Equity Share Application |
|
3,25,000 |
|
Equity Share Application |
|
25,000 |
|
Equity Share Allotment |
|
1,47,900 |
|
|
|
|
|
Equity Share First and Final Call |
|
1,47,900 |
|
Balance c/d |
|
6,02,100 |
|
Equity Share Capital |
|
6,300 |
|
|
|
|
|
|
|
6,27,100 |
|
|
|
6,27,100 |
|
|
|
|
|
|
|
|
Books of X Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
3,00,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
To Securities Premium |
|
|
1,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
50,000 |
|
|
(Share application money of 50,000 shares transferred to share capital at Rs 3 each and to premium Rs 2 each and Rs 50,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Share Capital A/c |
|
|
2,00,000 |
|
|
(Allotment due on 50,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
1,50,000 |
|
|
To Equity Share Capital A/c |
|
|
1,50,000 |
|
|
(First and final call due on 50,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
7,000 |
|
|
To Share Forfeiture A/c |
|
|
2,800 |
|
|
To Equity Share Allotment A/c |
|
|
2,100 |
|
|
To Equity Share First and Final A/c |
|
|
2,100 |
|
|
(700 shares of Rs 10 each forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
700 |
|
|
To Equity Share Capital A/c |
|
|
700 |
|
|
(Loss on issue Re 1 on 700 shares charged from the Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,100 |
|
|
To Capital Reserve A/c |
|
|
2,100 |
|
|
(Balance in Share Forfeiture after re-issue transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Mr. Sharma’s Share
Number of shares applied by Mr Sharma
Money received on Application 840 shares × Rs 5 |
= |
4,200 |
Less: Money transferred to Share Capital 700 shares × Rs 3 |
= |
2,100 |
Less: Securities Premium 700 shares × Rs 2 |
= |
1,400 |
Excess money on Application |
|
700 |
Allotment due 700 shares × Rs 4 |
= |
2,800 |
Less: Excess money on Application |
|
700 |
Calls-in Arrears on Allotment |
|
2,100 |
Share Allotment
Share Allotment due 50,000 × Rs 4 |
= |
2,00,0000 |
Less: Excess money on Application |
= |
50,000 |
Less: Calls-in-Arrears |
= |
2,100 |
Money received on Application |
|
1,47,900 |
Share First and Final Call
Share First and Final Call due 50,000 Shares × Rs 3 |
= |
1,50,000 |
Less: Calls in Arrears on 700 shares × Rs 3 |
= |
2,100 |
Money received on First and Final Call |
|
1,47,900 |
Capital Reserve
Money received on Application from Mr Sharma |
= |
Rs 4,200 |
|
Less: Securities Premium 700 × Rs 2 |
= |
Rs 1,400 |
|
Share Forfeiture |
Cr. |
|
2,800 |
Share Forfeiture 700 × Re 1 |
Dr. |
|
700 |
Capital Reserve |
|
2,100 |
Answer:
Issued capital 2,000 shares of Rs 10 each at premium of Rs 2
Applied shares 3,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 3 |
(2 + 1) |
2,400 |
|
2,000 |
|
Allotment |
Rs 4 |
(3 + 1) |
600 |
|
NIL |
|
First Call |
Rs 3 |
|
|
|
|
|
Final Call |
Rs 2 |
|
3,000 |
|
2,000 |
|
|
Rs 12 |
(10 + 2) per share |
Books of Super Star Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,000 |
|
|
To Share Application A/c |
|
|
9,000 |
|
|
(Share application money received for 3,000 shares at Rs 3 per share including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
9,000 |
|
|
To Share Capital A/c |
|
|
4,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
To Share Allotment A/c |
|
|
1,200 |
|
|
To Bank A/c |
|
|
1,800 |
|
|
(Share application money of 2,000 shares transferred to Share Capital and securities premium at Rs 2, and Re 1 each respectively, Rs 1,800 adjusted on allotment and remaining Rs 1,200 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
(Allotment due on 2,000 shares at Rs 4 per share including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,664 |
|
|
To Share Allotment A/c |
|
|
6,664 |
|
|
(Allotment received for 1960 shares after adjustment of excess application money) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
6,000 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
(First call due on 2,000 shares of at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,700 |
|
|
To Share First Call A/c |
|
|
5,700 |
|
|
(Share First Call received for 1,900 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
320 |
|
|
Securities Premium A/c |
Dr. |
|
40 |
|
|
To Share Forfeiture A/c (144 – 40) |
|
|
104 |
|
|
To Share Allotment A/c |
|
|
136 |
|
|
To Share First Call A/c |
|
|
120 |
|
|
(40 shares of Rs 10 each, Rs 8 called-up for non-payment of money due on allotment and first including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
3,920 |
|
|
To Share Capital A/c |
|
|
3,920 |
|
|
(Final call due on 1,960 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,800 |
|
|
To Share Final Call A/c |
|
|
3,800 |
|
|
(Final call received for 1,900 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
600 |
|
|
To Share Forfeiture A/c |
|
|
300 |
|
|
To Share First Call A/c |
|
|
180 |
|
|
To Share Final Call A/c |
|
|
120 |
|
|
(60 shares forfeited for the non-payment of first call and final call money) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
720 |
|
|
Share Forfeiture A/c |
Dr. |
|
80 |
|
|
To Share Capital A/c |
|
|
800 |
|
|
(80 shares of Rs 10 each re-issued at Rs 9 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
224 |
|
|
To Capital Reserve A/c |
|
|
224 |
|
|
(Balance in Share Forfeiture Account of 80 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Ramesh’s Shares
Number of shares allotted
Money received on Application (48 shares × Rs 3) |
= |
Rs |
144 |
Less: Application money adjusted to Share Capital (40 shares × Rs 2) |
= |
Rs |
80 |
Less: Securities Premium (40 shares × Re 1) |
= |
Rs |
40 |
Excess money Application |
= |
Rs |
24 |
Allotment due (40 shares × Rs 4) |
= |
Rs |
160 |
Less: Excess money on Application |
= |
Rs |
24 |
Calls-in-Arrears |
|
Rs |
136 |
Rajesh’s Shares
Number of shares allotted =
Share Allotment
Money due on Allotment (2,000 shares × Rs 4) |
8,000 |
Less: Excess application money adjusted |
1,200 |
Less: Calls-in-Arrears |
136 |
Money received on Allotment |
6,664 |
Share First Call
Money due on First Call (2,000 shares × Rs 3) |
6,000 |
Less: Calls-in-Arrears on Ramesh (40 shares × 3) |
120 |
Less: Calls-in-Arrears on Rajesh (60 shares × 3) |
180 |
Money received on First Call |
5,700 |
Share Final Call
Money due on Final Call (1,960 shares × Rs 2) |
3920 |
Less: Calls in Arrest on Rajesh (60 shares × Rs 2) |
120 |
Money received on Final Call |
3,800 |
Capital Reserve
Ramesh
Money received from Ramesh |
144 |
|
Less: Securities Premium (40 shares × Re 1) |
40 |
|
Share Forfeiture |
Cr. |
104 |
Share forfeiture 40 × Rs 1 |
Dr. |
40 |
Capital Reserve of Ramesh |
64 |
Rajesh
Share Forfeiture |
Cr. |
Rs |
5 per share |
Share Forfeiture |
Dr. |
Rs |
1 per share |
Share Forfeiture after re-issue |
Rs |
4 per share |
Capital Reserve on Rajesh’s shares = Share Forfeiture after re-issue (per share) × No. of shares re-issued
= Rs 4 × 40
= Rs 160
Total Capital Reserve = Capital Reserve of 40 shares of Ramesh + Capital Reserve of 40
shares of Rajesh
= 64 + 160
= Rs 224
Page No 7.129:
Question 108:
Issued capital 2,000 shares of Rs 10 each at premium of Rs 2
Applied shares 3,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 3 |
(2 + 1) |
2,400 |
|
2,000 |
|
Allotment |
Rs 4 |
(3 + 1) |
600 |
|
NIL |
|
First Call |
Rs 3 |
|
|
|
|
|
Final Call |
Rs 2 |
|
3,000 |
|
2,000 |
|
|
Rs 12 |
(10 + 2) per share |
Books of Super Star Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,000 |
|
|
To Share Application A/c |
|
|
9,000 |
|
|
(Share application money received for 3,000 shares at Rs 3 per share including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
9,000 |
|
|
To Share Capital A/c |
|
|
4,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
To Share Allotment A/c |
|
|
1,200 |
|
|
To Bank A/c |
|
|
1,800 |
|
|
(Share application money of 2,000 shares transferred to Share Capital and securities premium at Rs 2, and Re 1 each respectively, Rs 1,800 adjusted on allotment and remaining Rs 1,200 refunded) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
8,000 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
(Allotment due on 2,000 shares at Rs 4 per share including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,664 |
|
|
To Share Allotment A/c |
|
|
6,664 |
|
|
(Allotment received for 1960 shares after adjustment of excess application money) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
6,000 |
|
|
To Share Capital A/c |
|
|
6,000 |
|
|
(First call due on 2,000 shares of at Rs 3 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
5,700 |
|
|
To Share First Call A/c |
|
|
5,700 |
|
|
(Share First Call received for 1,900 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
320 |
|
|
Securities Premium A/c |
Dr. |
|
40 |
|
|
To Share Forfeiture A/c (144 – 40) |
|
|
104 |
|
|
To Share Allotment A/c |
|
|
136 |
|
|
To Share First Call A/c |
|
|
120 |
|
|
(40 shares of Rs 10 each, Rs 8 called-up for non-payment of money due on allotment and first including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
3,920 |
|
|
To Share Capital A/c |
|
|
3,920 |
|
|
(Final call due on 1,960 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,800 |
|
|
To Share Final Call A/c |
|
|
3,800 |
|
|
(Final call received for 1,900 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
600 |
|
|
To Share Forfeiture A/c |
|
|
300 |
|
|
To Share First Call A/c |
|
|
180 |
|
|
To Share Final Call A/c |
|
|
120 |
|
|
(60 shares forfeited for the non-payment of first call and final call money) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
720 |
|
|
Share Forfeiture A/c |
Dr. |
|
80 |
|
|
To Share Capital A/c |
|
|
800 |
|
|
(80 shares of Rs 10 each re-issued at Rs 9 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
224 |
|
|
To Capital Reserve A/c |
|
|
224 |
|
|
(Balance in Share Forfeiture Account of 80 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Ramesh’s Shares
Number of shares allotted
Money received on Application (48 shares × Rs 3) |
= |
Rs |
144 |
Less: Application money adjusted to Share Capital (40 shares × Rs 2) |
= |
Rs |
80 |
Less: Securities Premium (40 shares × Re 1) |
= |
Rs |
40 |
Excess money Application |
= |
Rs |
24 |
Allotment due (40 shares × Rs 4) |
= |
Rs |
160 |
Less: Excess money on Application |
= |
Rs |
24 |
Calls-in-Arrears |
|
Rs |
136 |
Rajesh’s Shares
Number of shares allotted =
Share Allotment
Money due on Allotment (2,000 shares × Rs 4) |
8,000 |
Less: Excess application money adjusted |
1,200 |
Less: Calls-in-Arrears |
136 |
Money received on Allotment |
6,664 |
Share First Call
Money due on First Call (2,000 shares × Rs 3) |
6,000 |
Less: Calls-in-Arrears on Ramesh (40 shares × 3) |
120 |
Less: Calls-in-Arrears on Rajesh (60 shares × 3) |
180 |
Money received on First Call |
5,700 |
Share Final Call
Money due on Final Call (1,960 shares × Rs 2) |
3920 |
Less: Calls in Arrest on Rajesh (60 shares × Rs 2) |
120 |
Money received on Final Call |
3,800 |
Capital Reserve
Ramesh
Money received from Ramesh |
144 |
|
Less: Securities Premium (40 shares × Re 1) |
40 |
|
Share Forfeiture |
Cr. |
104 |
Share forfeiture 40 × Rs 1 |
Dr. |
40 |
Capital Reserve of Ramesh |
64 |
Rajesh
Share Forfeiture |
Cr. |
Rs |
5 per share |
Share Forfeiture |
Dr. |
Rs |
1 per share |
Share Forfeiture after re-issue |
Rs |
4 per share |
Capital Reserve on Rajesh’s shares = Share Forfeiture after re-issue (per share) × No. of shares re-issued
= Rs 4 × 40
= Rs 160
Total Capital Reserve = Capital Reserve of 40 shares of Ramesh + Capital Reserve of 40
shares of Rajesh
= 64 + 160
= Rs 224
Answer:
Issued capital 50,000 shares of Rs 10 each at premium of Rs 2
Applied shares 60,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Alloted |
|
Application |
Rs 3 |
|
10,000 |
|
10,000 |
|
Allotment |
Rs 4 |
|
20,000 |
|
15,000 |
|
First Call |
Rs 2 |
|
30,000 |
|
25,000 |
|
Final Call |
Rs 1 |
|
60,000 |
|
50,000 |
|
|
Rs 10 |
per share |
Books of Nav Lakshmi Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,80,000 |
|
|
To Share Application A/c |
|
|
1,80,000 |
|
|
(Application money received for 60,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,80,000 |
|
|
To Share Capital A/c |
|
|
1,50,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
(Share application of 50,000 shares adjusted to Share Capital and excess money adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
(Allotment due on 50,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,65,500 |
|
|
To Share Allotment A/c |
|
|
1,65,500 |
|
|
(Allotment received for 48,500 shares after adjusting excess application money) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(First call due on 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
97,000 |
|
|
To Share First Call A/c |
|
|
97,000 |
|
|
(First call received on 48,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Final call due on 50,000 shares at Rs 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
48,500 |
|
|
To Share Final Call A/c |
|
|
48,500 |
|
|
(Final call received on 48,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
15,000 |
|
|
To Share Forfeiture A/c |
|
|
6,000 |
|
|
To Share Allotment A/c |
|
|
4,500 |
|
|
To Share First Call A/c |
|
|
3,000 |
|
|
To Share Final Call A/c |
|
|
1,500 |
|
|
(1,500 shares of Rs 10 each forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(1,000 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Capital Reserve A/c |
|
|
2,000 |
|
|
(Balance in Share Forfeiture of 1,000 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Number of share default
Defaulted Share
Money received on application (2,000 × Rs 3) |
= |
6,000 |
Less: money transferred to Share Capital (1,500 × Rs 3) |
= |
4,500 |
Excess money on application |
|
1,500 |
Allotment due (1,500 share × Rs 4) |
= |
6,000 |
Less: Excess money on application |
= |
1,500 |
Calls-in–Arrears on Allotment |
|
4,500 |
Share Allotment
Money due on Share Allotment (50,000 shares × Rs 4) |
= |
2,00,000 |
Less: Excess money on application |
= |
30,000 |
Less: Calls-in-Arrears |
= |
4,500 |
Money received on Allotment |
|
1,65,500 |
Capital Reserve
Share Forfeiture Credit = |
= |
Rs 4 |
per share |
Share Forfeiture Debit |
= |
Rs 2 |
per share |
Balance in Share Forfeiture after re-issue |
|
Rs 2 |
per share |
Capital Reserve |
= |
Balance in share Forfeiture after re-issue (per share) × No. of shares re-issued |
|
= |
Rs 2 × 1,000 shares |
|
= |
Rs 2,000 |
Page No 7.129:
Question 109:
Issued capital 50,000 shares of Rs 10 each at premium of Rs 2
Applied shares 60,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Alloted |
|
Application |
Rs 3 |
|
10,000 |
|
10,000 |
|
Allotment |
Rs 4 |
|
20,000 |
|
15,000 |
|
First Call |
Rs 2 |
|
30,000 |
|
25,000 |
|
Final Call |
Rs 1 |
|
60,000 |
|
50,000 |
|
|
Rs 10 |
per share |
Books of Nav Lakshmi Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,80,000 |
|
|
To Share Application A/c |
|
|
1,80,000 |
|
|
(Application money received for 60,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
1,80,000 |
|
|
To Share Capital A/c |
|
|
1,50,000 |
|
|
To Share Allotment A/c |
|
|
30,000 |
|
|
(Share application of 50,000 shares adjusted to Share Capital and excess money adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
2,00,000 |
|
|
To Share Capital A/c |
|
|
2,00,000 |
|
|
(Allotment due on 50,000 shares at Rs 4 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,65,500 |
|
|
To Share Allotment A/c |
|
|
1,65,500 |
|
|
(Allotment received for 48,500 shares after adjusting excess application money) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
1,00,000 |
|
|
To Share Capital A/c |
|
|
1,00,000 |
|
|
(First call due on 50,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
97,000 |
|
|
To Share First Call A/c |
|
|
97,000 |
|
|
(First call received on 48,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
50,000 |
|
|
To Share Capital A/c |
|
|
50,000 |
|
|
(Final call due on 50,000 shares at Rs 1) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
48,500 |
|
|
To Share Final Call A/c |
|
|
48,500 |
|
|
(Final call received on 48,500 shares) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
15,000 |
|
|
To Share Forfeiture A/c |
|
|
6,000 |
|
|
To Share Allotment A/c |
|
|
4,500 |
|
|
To Share First Call A/c |
|
|
3,000 |
|
|
To Share Final Call A/c |
|
|
1,500 |
|
|
(1,500 shares of Rs 10 each forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
8,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
(1,000 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Capital Reserve A/c |
|
|
2,000 |
|
|
(Balance in Share Forfeiture of 1,000 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Number of share default
Defaulted Share
Money received on application (2,000 × Rs 3) |
= |
6,000 |
Less: money transferred to Share Capital (1,500 × Rs 3) |
= |
4,500 |
Excess money on application |
|
1,500 |
Allotment due (1,500 share × Rs 4) |
= |
6,000 |
Less: Excess money on application |
= |
1,500 |
Calls-in–Arrears on Allotment |
|
4,500 |
Share Allotment
Money due on Share Allotment (50,000 shares × Rs 4) |
= |
2,00,000 |
Less: Excess money on application |
= |
30,000 |
Less: Calls-in-Arrears |
= |
4,500 |
Money received on Allotment |
|
1,65,500 |
Capital Reserve
Share Forfeiture Credit = |
= |
Rs 4 |
per share |
Share Forfeiture Debit |
= |
Rs 2 |
per share |
Balance in Share Forfeiture after re-issue |
|
Rs 2 |
per share |
Capital Reserve |
= |
Balance in share Forfeiture after re-issue (per share) × No. of shares re-issued |
|
= |
Rs 2 × 1,000 shares |
|
= |
Rs 2,000 |
Answer:
Issued capital 2,00,000 shares of Rs 10 each.
Applied shares 3,00,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 3 |
|
2,00,000 |
|
1,50,000 |
|
Allotment |
Rs 5 |
|
1,00,000 |
|
50,000 |
|
First and Final Call |
Rs 2 |
|
3,00,000 |
|
2,00,000 |
|
|
Rs 10 |
per share |
Books of Bharat Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Application A/c |
|
|
9,00,000 |
|
|
(Application money received for 3,00,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Capital A/c |
|
|
6,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
3,00,000 |
|
|
(Application money of 2,00,000 shares at Rs 3 each transferred to Shares Capital and excess money Rs 3,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
10,00,000 |
|
|
To Equity Share Capital A/c |
|
|
10,00,000 |
|
|
(Allotment due on 2,00,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,88,000 |
|
|
To Equity Share Allotment A/c |
|
|
6,88,000 |
|
|
(Allotment received on 1,97,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
24,000 |
|
|
To Share Forfeiture A/c |
|
|
12,000 |
|
|
To Share Allotment A/c |
|
|
12,000 |
|
|
(300 shares forfeited for the non-payment of money due on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
3,94,000 |
|
|
To Equity Share Capital A/c |
|
|
3,94,000 |
|
|
(First and Final call due on 1,97,000 shares at Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
|
3,92,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
3,92,000 |
|
|
(Share First and Final Call received on 1,97,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
8,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
2,000 |
|
|
(1,000 shares forfeited for the non-payment of first and final call) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
7,000 |
|
|
To Equity Share Capital A/c |
|
|
35,000 |
|
|
(3,500 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
9,000 |
|
|
To Capital Reserve A/c |
|
|
9,000 |
|
|
(Balance in Share Forfeiture of 3,500 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Bajaj’s Share
Number of shares applied
Money received on Application (4,000 shares × Rs 3) |
= |
12,000 |
Less: Money transferred to Shares capital (3000 shares × Rs 3) |
= |
9,000 |
Excess money on Application |
|
3,000 |
Allotment due (3,000 shares × Rs 5) |
= |
15,000 |
Less: Excess money on application |
= |
3,000 |
Calls-in-Arrears on Allotment |
|
12,000 |
Share Allotment
Money due an allotment (2,00,000 shares × Rs 5) |
= |
10,00,000 |
Less: Excess money on Application |
= |
3,00,000 |
Less: Calls-in-Arrears on Bajaj’s shares |
= |
12,000 |
Money received on Allotment |
= |
Rs 6,88,000 |
Sharma’s shares
Number of shares allotted
Capital Reserve
Forfeiture of shares held by Bajaj
Share Forfeiture Credit |
= |
Rs 4 per shares |
|
Share Forfeiture Debit on re-issue |
= |
Rs 2 |
per share |
Share Forfeiture after re-issue |
|
Rs 2 |
per share |
Capital Reserve on re-issue of Bajaj’s shares |
= |
Rs 2 × 3,000 (no. of shares re-issued) |
|
= |
Rs 6,000 |
Forfeiture of shares held by Sharma
Share Forfeiture Credit |
Rs 8 |
per share |
Share Forfeiture Debit on re-issue |
Rs 2 |
per share |
|
Rs 6 |
per share |
Capital Reserve on re-issue of 500 Shares of Sharma = Rs 6 × 500 (no. of shares re-issued) = Rs 3,000
Total Capital Reserve on 3,500 shares = 6,000 (re-issue of Bajaj’s) + 3,000 (re-issue of Sharma’s) = Rs 9,000
Page No 7.129:
Question 110:
Issued capital 2,00,000 shares of Rs 10 each.
Applied shares 3,00,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 3 |
|
2,00,000 |
|
1,50,000 |
|
Allotment |
Rs 5 |
|
1,00,000 |
|
50,000 |
|
First and Final Call |
Rs 2 |
|
3,00,000 |
|
2,00,000 |
|
|
Rs 10 |
per share |
Books of Bharat Ltd. Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Application A/c |
|
|
9,00,000 |
|
|
(Application money received for 3,00,000 shares at Rs 3 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Capital A/c |
|
|
6,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
3,00,000 |
|
|
(Application money of 2,00,000 shares at Rs 3 each transferred to Shares Capital and excess money Rs 3,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
10,00,000 |
|
|
To Equity Share Capital A/c |
|
|
10,00,000 |
|
|
(Allotment due on 2,00,000 shares at Rs 5 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
6,88,000 |
|
|
To Equity Share Allotment A/c |
|
|
6,88,000 |
|
|
(Allotment received on 1,97,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
24,000 |
|
|
To Share Forfeiture A/c |
|
|
12,000 |
|
|
To Share Allotment A/c |
|
|
12,000 |
|
|
(300 shares forfeited for the non-payment of money due on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
3,94,000 |
|
|
To Equity Share Capital A/c |
|
|
3,94,000 |
|
|
(First and Final call due on 1,97,000 shares at Rs 2 per share) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
|
3,92,000 |
|
|
|
To Equity Share First and Final Call A/c |
|
|
3,92,000 |
|
|
(Share First and Final Call received on 1,97,000 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
10,000 |
|
|
To Share Forfeiture A/c |
|
|
8,000 |
|
|
To Equity Share First and Final Call A/c |
|
|
2,000 |
|
|
(1,000 shares forfeited for the non-payment of first and final call) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
28,000 |
|
|
Share Forfeiture A/c |
Dr. |
|
7,000 |
|
|
To Equity Share Capital A/c |
|
|
35,000 |
|
|
(3,500 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
9,000 |
|
|
To Capital Reserve A/c |
|
|
9,000 |
|
|
(Balance in Share Forfeiture of 3,500 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Note:
Bajaj’s Share
Number of shares applied
Money received on Application (4,000 shares × Rs 3) |
= |
12,000 |
Less: Money transferred to Shares capital (3000 shares × Rs 3) |
= |
9,000 |
Excess money on Application |
|
3,000 |
Allotment due (3,000 shares × Rs 5) |
= |
15,000 |
Less: Excess money on application |
= |
3,000 |
Calls-in-Arrears on Allotment |
|
12,000 |
Share Allotment
Money due an allotment (2,00,000 shares × Rs 5) |
= |
10,00,000 |
Less: Excess money on Application |
= |
3,00,000 |
Less: Calls-in-Arrears on Bajaj’s shares |
= |
12,000 |
Money received on Allotment |
= |
Rs 6,88,000 |
Sharma’s shares
Number of shares allotted
Capital Reserve
Forfeiture of shares held by Bajaj
Share Forfeiture Credit |
= |
Rs 4 per shares |
|
Share Forfeiture Debit on re-issue |
= |
Rs 2 |
per share |
Share Forfeiture after re-issue |
|
Rs 2 |
per share |
Capital Reserve on re-issue of Bajaj’s shares |
= |
Rs 2 × 3,000 (no. of shares re-issued) |
|
= |
Rs 6,000 |
Forfeiture of shares held by Sharma
Share Forfeiture Credit |
Rs 8 |
per share |
Share Forfeiture Debit on re-issue |
Rs 2 |
per share |
|
Rs 6 |
per share |
Capital Reserve on re-issue of 500 Shares of Sharma = Rs 6 × 500 (no. of shares re-issued) = Rs 3,000
Total Capital Reserve on 3,500 shares = 6,000 (re-issue of Bajaj’s) + 3,000 (re-issue of Sharma’s) = Rs 9,000
Answer:
Issued capital 1,00,000 shares of Rs 10 each at premium of Rs 4
Applied shares 1,50,000
Payable as: |
|
|
Application |
Rs 6 |
(4 + 2) |
Allotment |
Rs 6 |
(4 + 2) |
First and Final Call |
Rs 2 |
|
|
Rs 14 |
(10 + 4) per share |
Books of Bhart Tyres Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Application A/c |
|
|
9,00,000 |
|
|
(Application money received for 1,50,000 shares at Rs 6 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
3,00,000 |
|
|
(Application money of 1,00,000 share transferred to Share Capital and Securities Premium at Rs 4 and Rs 2 each respectively and remaining Rs 3,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
6,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
(Allotment due for 1,00,000 shares at Rs 6 per share including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,99,400 |
|
|
To Equity Share Allotment A/c |
|
|
2,99,400 |
|
|
(Allotment money received except 200 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Shares Capital A/c |
|
|
2,00,000 |
|
|
(First and final call due on 1,00,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,99,400 |
|
|
To Equity Shares First and Final Call A/c |
|
|
1,99,400 |
|
|
(First and final call received shares except 300 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
Securities Premium A/c (200 × 2) |
Dr. |
|
400 |
|
|
To Share Forfeiture A/c |
|
|
1,400 |
|
|
To Equity Share Allotment A/c |
|
|
600 |
|
|
To Equity Share First and Final Call A/c |
|
|
400 |
|
|
(200 shares forfeited for the non-payment due amount) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
800 |
|
|
To Equity Share First and Final Call A/c |
|
|
200 |
|
|
(100 shares forfeited for the non-payment of first and final call) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,400 |
|
|
Share Forfeiture A/c |
Dr. |
|
600 |
|
|
To Equity Share Capital A/c |
|
|
3,000 |
|
|
(300 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
1,600 |
|
|
To Capital Reserve A/c |
|
|
1,600 |
|
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Subodh’s Shares
Number of share applied
Money received on Application (300 shares × Rs 6) |
= |
1,800 |
Less: Transferred to Shares Capital (200 shares × Rs 4) |
= |
800 |
Less: Securities Premium (200 shares × Rs 2) |
= |
400 |
Excess money on Application |
|
600 |
Allotment due (200 shares × Rs 6) |
= |
|
1,200 |
Less: Excess money on Application |
= |
|
600 |
Calls-in-Arrears on Allotment |
|
|
600 |
Share Allotment
Money due on Allotment (1,00,000 shares × Rs 6) |
= |
6,00,000 |
Less: Excess money on Application |
= |
3,00,000 |
Less: Calls-in-Arrears on Allotment |
|
600 |
Money received on Allotment |
|
2,99,400 |
Capital Reserve
Money received on Application from Subodh (300 shares× Rs 2) |
1,800 |
Less: Securities Premium received (200 shares × Rs 2) |
400 |
Share Forfeiture Credit on Subodh’s share |
1,400 |
Share Forfeiture Credit on Vikram’s Shares (100 × Rs 8) |
800 |
Total money credited to Share Forfeiture Account |
2,200 |
Less: Share Forfeiture Account debit (300 × Rs 2) |
600 |
Capital Reserve (balance in Share Forfeiture Account after re-issue) |
1,600 |
Page No 7.130:
Question 111:
Issued capital 1,00,000 shares of Rs 10 each at premium of Rs 4
Applied shares 1,50,000
Payable as: |
|
|
Application |
Rs 6 |
(4 + 2) |
Allotment |
Rs 6 |
(4 + 2) |
First and Final Call |
Rs 2 |
|
|
Rs 14 |
(10 + 4) per share |
Books of Bhart Tyres Limited Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Application A/c |
|
|
9,00,000 |
|
|
(Application money received for 1,50,000 shares at Rs 6 per share) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
9,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
To Equity Share Allotment A/c |
|
|
3,00,000 |
|
|
(Application money of 1,00,000 share transferred to Share Capital and Securities Premium at Rs 4 and Rs 2 each respectively and remaining Rs 3,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
6,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
2,00,000 |
|
|
(Allotment due for 1,00,000 shares at Rs 6 per share including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,99,400 |
|
|
To Equity Share Allotment A/c |
|
|
2,99,400 |
|
|
(Allotment money received except 200 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First and Final Call A/c |
Dr. |
|
2,00,000 |
|
|
To Equity Shares Capital A/c |
|
|
2,00,000 |
|
|
(First and final call due on 1,00,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,99,400 |
|
|
To Equity Shares First and Final Call A/c |
|
|
1,99,400 |
|
|
(First and final call received shares except 300 shares) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
2,000 |
|
|
Securities Premium A/c (200 × 2) |
Dr. |
|
400 |
|
|
To Share Forfeiture A/c |
|
|
1,400 |
|
|
To Equity Share Allotment A/c |
|
|
600 |
|
|
To Equity Share First and Final Call A/c |
|
|
400 |
|
|
(200 shares forfeited for the non-payment due amount) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
1,000 |
|
|
To Share Forfeiture A/c |
|
|
800 |
|
|
To Equity Share First and Final Call A/c |
|
|
200 |
|
|
(100 shares forfeited for the non-payment of first and final call) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
2,400 |
|
|
Share Forfeiture A/c |
Dr. |
|
600 |
|
|
To Equity Share Capital A/c |
|
|
3,000 |
|
|
(300 shares of Rs 10 each re-issued at Rs 8 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
1,600 |
|
|
To Capital Reserve A/c |
|
|
1,600 |
|
|
(Balance in Share Forfeiture Account after re-issue of shares, transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
Working Notes-
Subodh’s Shares
Number of share applied
Money received on Application (300 shares × Rs 6) |
= |
1,800 |
Less: Transferred to Shares Capital (200 shares × Rs 4) |
= |
800 |
Less: Securities Premium (200 shares × Rs 2) |
= |
400 |
Excess money on Application |
|
600 |
Allotment due (200 shares × Rs 6) |
= |
|
1,200 |
Less: Excess money on Application |
= |
|
600 |
Calls-in-Arrears on Allotment |
|
|
600 |
Share Allotment
Money due on Allotment (1,00,000 shares × Rs 6) |
= |
6,00,000 |
Less: Excess money on Application |
= |
3,00,000 |
Less: Calls-in-Arrears on Allotment |
|
600 |
Money received on Allotment |
|
2,99,400 |
Capital Reserve
Money received on Application from Subodh (300 shares× Rs 2) |
1,800 |
Less: Securities Premium received (200 shares × Rs 2) |
400 |
Share Forfeiture Credit on Subodh’s share |
1,400 |
Share Forfeiture Credit on Vikram’s Shares (100 × Rs 8) |
800 |
Total money credited to Share Forfeiture Account |
2,200 |
Less: Share Forfeiture Account debit (300 × Rs 2) |
600 |
Capital Reserve (balance in Share Forfeiture Account after re-issue) |
1,600 |
Answer:
Applied shares 2,40,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 5 |
|
1,00,000 |
|
1,00,000 |
|
Allotment |
Rs 4 |
(2 + 2) |
80,000 |
|
60,000 |
|
First Call |
Rs 2 |
|
60,000 |
|
40,000 |
|
Final Call |
Re 1 |
|
2,40,000 |
|
2,00,000 |
|
|
Rs 12 |
(10 + 2) per share |
Cash Book |
|||||
Dr. |
|
Cr. |
|||
Date |
Particulars |
Amount Rs |
Date |
Particulars |
Amount Rs |
|
|
|
|
|
|
|
Equity Share Application (2,40,000 × Rs 5) |
12,00,000 |
|
Balance c/d |
|
|
Equity Share Allotment (See note-2) |
5,93,900 |
|
|
|
|
Equity Share First Call (See note-3) |
3,93,800 |
|
|
|
|
Equity Share First Call |
1,96,900 |
|
|
|
|
(1,96,900 shares × Re 1) |
|
|
|
|
|
Equity Share Capital (1,000 shares of category i) |
8,000 |
|
|
|
|
Equity Share Capital (300 shares of category ii) |
2,400 |
|
23,95,000 |
|
|
|
23,95,000 |
|
23,95,000 |
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
12,00,000 |
|
|
To Equity Share Capital A/c |
|
|
10,00,000 |
|
|
To Equity Share allotment A/c |
|
|
2,00,000 |
|
|
(Equity Share application money of 2,00,000 shares at Rs 5 each transferred to Share Capital and Rs 2,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
4,00,000 |
|
|
(Share allotment due on 2,00,000 shares at Rs 4 each including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
4,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
(First call due on 2,00,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
9,000 |
|
|
Securities Premium A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c (900 shares × Rs 5) |
|
|
5,000 |
|
|
To Equity Share Allotment A/c (900 shares × Rs 4) |
|
|
4,000 |
|
|
To Equity Share First Call A/c (900 shares × Rs 2) |
|
|
2,000 |
|
|
(1,000 shares of category (i) Rs 10 each, on which Rs 8 had called-up, forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
8,100 |
|
|
Securities Premium A/c |
Dr. |
|
1,800 |
|
|
To Share Forfeiture A/c |
|
|
6,000 |
|
|
To Equity Shares Allotment A/c |
|
|
2,100 |
|
|
To Equity Shares First-Call A/c |
|
|
1,800 |
|
|
(900 shares of category (ii) forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
1,98,100 |
|
|
To Equity Shared Capital A/c |
|
|
1,98,100 |
|
|
(Final call due on 1,98,100 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
12,000 |
|
|
To Share Forfeiture A/c |
|
|
8,400 |
|
|
To Share First Call A/c |
|
|
2,400 |
|
|
To Share Final Call A/c |
|
|
1,200 |
|
|
(1,200 shares of category (iii) forfeited for the non-payment amount due) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Equity Share Capital A/c |
|
|
2,000 |
|
|
(Loss on re-issue of 1,000 shares of category (i) charged from Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
600 |
|
|
To Equity Share Capital A/c |
|
|
600 |
|
|
(Loss on re-issue of 300 of category (ii) charged from Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
4,400 |
|
|
To Capital Reserve A/c |
|
|
4,400 |
|
|
(Balance in Share Forfeiture Account of 1,300 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Super Star Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
19,94,400 |
b. Reserves and Surplus |
2 |
4,00,600 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
23,95,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
23,95,000 |
Total |
|
23,95,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. Equity Shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
2,00,000 Equity Shares of Rs 10 each |
20,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,98,200 Equity Shares of Rs 10 each |
19,82,000 |
|
|
Add: Shares Forfeited (600 shares × Rs 6.66) |
4,000 |
|
|
Add: Shares Forfeited (1,200 shares × Rs 7) |
8,400 |
19,94,400 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Securities Premium |
3,96,200 |
|
|
Capital Reserve |
4,400 |
4,00,600 |
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
23,95,000 |
|
|
|
|
Working Notes:
1. 1,200 shares of Category (ii)
Number of share allotted
Money received on application (1,200 shares × Rs 5) |
= |
6,000 |
Less: Application money transferred to Share Capital (900 shares × Rs 5) |
= |
4,500 |
Excess money received from 1,200 shares on Application |
= |
1,500 |
Money due on Allotment (900 shares × Rs 4) |
= |
3,600 |
Less: Excess money on Application |
= |
1,500 |
Calls-in-Arrears on Allotment of category (ii) |
|
2,100 |
2. Share Allotment
Money due on Allotment (2,00,000 shares × Rs 4) |
= |
8,00,000 |
Less: Excess money on Application |
= |
2,00,000 |
Less: Calls-in-Arrears 1,000 shares of category (i) (1,000 shares × Rs 4) |
= |
4,000 |
Less: Calls-in-Arrears 1,200 shares of category (ii) |
= |
2,100 |
Money received on Allotment |
= |
5,93,900 |
3. Share First Call
First Call due on 2,00,000 shares × Rs 2 |
= |
4,00,000 |
Less: Calls-in-Arrears on 3,100 shares × Rs 2 (1,000 + 900 + 1,200 shares of category (i), (ii) and (iii) respectively) |
|
(6,200) |
Money received on First Call |
|
3,93,800 |
4. Share Final Call
Money due on Share Final Call (2,00,000 – 1900) × Rs 1 |
= |
1,98,100 |
Less: Calls-in-Arrears of 1,200 shares of Category (iii) |
|
1,200 |
Money received on Final Call |
|
1,96,900 |
Capital Reserve
Calculation of Share Forfeiture of 1,000 shares of category (i)
Share Forfeiture |
Rs 5,000 |
Cr. |
Less: Share Forfeiture |
Rs 2,000 |
Dr. |
Capital Reserve of 1,000 shares (balance after re-issue) |
Rs 3,000 |
Cr. |
Calculation of Share Forfeiture of 300 shares of category (ii)
Share Forfeiture = Credit |
= |
Rs |
6.67 |
per share |
Less: Share Forfeiture Debit |
= |
Rs |
2 |
per share |
Capital Reserve (balance after re-issue) |
= |
Rs |
4.67 |
per share |
Capital Reserve of 300 shares = Capital Reserve (per share) × No. of shares re-issued = Rs 4.67 × 300 shares = Rs 1,400
Total Capital Reserve of 1,300 shares = Capital Reserve of 1,000 shares of category (i) + Capital Reserve of 300 shares of category (ii) = 3,000 + 1,400 = Rs 4,400
Page No 7.130:
Question 112:
Applied shares 2,40,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 5 |
|
1,00,000 |
|
1,00,000 |
|
Allotment |
Rs 4 |
(2 + 2) |
80,000 |
|
60,000 |
|
First Call |
Rs 2 |
|
60,000 |
|
40,000 |
|
Final Call |
Re 1 |
|
2,40,000 |
|
2,00,000 |
|
|
Rs 12 |
(10 + 2) per share |
Cash Book |
|||||
Dr. |
|
Cr. |
|||
Date |
Particulars |
Amount Rs |
Date |
Particulars |
Amount Rs |
|
|
|
|
|
|
|
Equity Share Application (2,40,000 × Rs 5) |
12,00,000 |
|
Balance c/d |
|
|
Equity Share Allotment (See note-2) |
5,93,900 |
|
|
|
|
Equity Share First Call (See note-3) |
3,93,800 |
|
|
|
|
Equity Share First Call |
1,96,900 |
|
|
|
|
(1,96,900 shares × Re 1) |
|
|
|
|
|
Equity Share Capital (1,000 shares of category i) |
8,000 |
|
|
|
|
Equity Share Capital (300 shares of category ii) |
2,400 |
|
23,95,000 |
|
|
|
23,95,000 |
|
23,95,000 |
|
|
|
|
|
|
|
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Equity Share Application A/c |
Dr. |
|
12,00,000 |
|
|
To Equity Share Capital A/c |
|
|
10,00,000 |
|
|
To Equity Share allotment A/c |
|
|
2,00,000 |
|
|
(Equity Share application money of 2,00,000 shares at Rs 5 each transferred to Share Capital and Rs 2,00,000 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Allotment A/c |
Dr. |
|
8,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
To Securities Premium A/c |
|
|
4,00,000 |
|
|
(Share allotment due on 2,00,000 shares at Rs 4 each including Rs 2 premium) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share First Call A/c |
Dr. |
|
4,00,000 |
|
|
To Equity Share Capital A/c |
|
|
4,00,000 |
|
|
(First call due on 2,00,000 shares at Rs 2 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
9,000 |
|
|
Securities Premium A/c |
Dr. |
|
2,000 |
|
|
To Share Forfeiture A/c (900 shares × Rs 5) |
|
|
5,000 |
|
|
To Equity Share Allotment A/c (900 shares × Rs 4) |
|
|
4,000 |
|
|
To Equity Share First Call A/c (900 shares × Rs 2) |
|
|
2,000 |
|
|
(1,000 shares of category (i) Rs 10 each, on which Rs 8 had called-up, forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
8,100 |
|
|
Securities Premium A/c |
Dr. |
|
1,800 |
|
|
To Share Forfeiture A/c |
|
|
6,000 |
|
|
To Equity Shares Allotment A/c |
|
|
2,100 |
|
|
To Equity Shares First-Call A/c |
|
|
1,800 |
|
|
(900 shares of category (ii) forfeited for the non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Final Call A/c |
Dr. |
|
1,98,100 |
|
|
To Equity Shared Capital A/c |
|
|
1,98,100 |
|
|
(Final call due on 1,98,100 shares at Re 1 each) |
|
|
|
|
|
|
|
|
|
|
|
Equity Share Capital A/c |
Dr. |
|
12,000 |
|
|
To Share Forfeiture A/c |
|
|
8,400 |
|
|
To Share First Call A/c |
|
|
2,400 |
|
|
To Share Final Call A/c |
|
|
1,200 |
|
|
(1,200 shares of category (iii) forfeited for the non-payment amount due) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
2,000 |
|
|
To Equity Share Capital A/c |
|
|
2,000 |
|
|
(Loss on re-issue of 1,000 shares of category (i) charged from Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
600 |
|
|
To Equity Share Capital A/c |
|
|
600 |
|
|
(Loss on re-issue of 300 of category (ii) charged from Share Forfeiture Account) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
4,400 |
|
|
To Capital Reserve A/c |
|
|
4,400 |
|
|
(Balance in Share Forfeiture Account of 1,300 re-issued shares transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
Super Star Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
19,94,400 |
b. Reserves and Surplus |
2 |
4,00,600 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
23,95,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
23,95,000 |
Total |
|
23,95,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. Equity Shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
2,00,000 Equity Shares of Rs 10 each |
20,00,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,98,200 Equity Shares of Rs 10 each |
19,82,000 |
|
|
Add: Shares Forfeited (600 shares × Rs 6.66) |
4,000 |
|
|
Add: Shares Forfeited (1,200 shares × Rs 7) |
8,400 |
19,94,400 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Securities Premium |
3,96,200 |
|
|
Capital Reserve |
4,400 |
4,00,600 |
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
23,95,000 |
|
|
|
|
Working Notes:
1. 1,200 shares of Category (ii)
Number of share allotted
Money received on application (1,200 shares × Rs 5) |
= |
6,000 |
Less: Application money transferred to Share Capital (900 shares × Rs 5) |
= |
4,500 |
Excess money received from 1,200 shares on Application |
= |
1,500 |
Money due on Allotment (900 shares × Rs 4) |
= |
3,600 |
Less: Excess money on Application |
= |
1,500 |
Calls-in-Arrears on Allotment of category (ii) |
|
2,100 |
2. Share Allotment
Money due on Allotment (2,00,000 shares × Rs 4) |
= |
8,00,000 |
Less: Excess money on Application |
= |
2,00,000 |
Less: Calls-in-Arrears 1,000 shares of category (i) (1,000 shares × Rs 4) |
= |
4,000 |
Less: Calls-in-Arrears 1,200 shares of category (ii) |
= |
2,100 |
Money received on Allotment |
= |
5,93,900 |
3. Share First Call
First Call due on 2,00,000 shares × Rs 2 |
= |
4,00,000 |
Less: Calls-in-Arrears on 3,100 shares × Rs 2 (1,000 + 900 + 1,200 shares of category (i), (ii) and (iii) respectively) |
|
(6,200) |
Money received on First Call |
|
3,93,800 |
4. Share Final Call
Money due on Share Final Call (2,00,000 – 1900) × Rs 1 |
= |
1,98,100 |
Less: Calls-in-Arrears of 1,200 shares of Category (iii) |
|
1,200 |
Money received on Final Call |
|
1,96,900 |
Capital Reserve
Calculation of Share Forfeiture of 1,000 shares of category (i)
Share Forfeiture |
Rs 5,000 |
Cr. |
Less: Share Forfeiture |
Rs 2,000 |
Dr. |
Capital Reserve of 1,000 shares (balance after re-issue) |
Rs 3,000 |
Cr. |
Calculation of Share Forfeiture of 300 shares of category (ii)
Share Forfeiture = Credit |
= |
Rs |
6.67 |
per share |
Less: Share Forfeiture Debit |
= |
Rs |
2 |
per share |
Capital Reserve (balance after re-issue) |
= |
Rs |
4.67 |
per share |
Capital Reserve of 300 shares = Capital Reserve (per share) × No. of shares re-issued = Rs 4.67 × 300 shares = Rs 1,400
Total Capital Reserve of 1,300 shares = Capital Reserve of 1,000 shares of category (i) + Capital Reserve of 300 shares of category (ii) = 3,000 + 1,400 = Rs 4,400
Answer:
Applied shares 3,000
Allotment made as: |
|
Payable as: |
|
|||
Applied |
|
Allotted |
|
Application |
Rs 6 |
(5 + 1) |
2,400 |
|
2,000 |
|
Allotment |
Rs 2 |
(1 + 1) |
600 |
|
NIL |
|
First Call |
Rs 3 |
(2 + 1) |
|
|
|
|
Final Call |
Rs 3 |
(2 + 1) |
3,000 |
|
2,000 |
|
|
Rs 14 |
(10 + 4) per share |
Cash Book |
|||||
Dr. |
|
|
|
|
Cr. |
Date |
Particulars |
Bank Rs |
Date |
Particulars |
Bank Rs |
|
|
|
|
|
|
|
Share Application |
18,000 |
|
Share Application |
3,600 |
|
(3,000 shares × Rs 6) |
|
|
(600 shares × Rs 6) |
|
|
Share Allotment (see note-2) |
1,568 |
|
|
|
|
Share First Call (see note-4) |
5,700 |
|
|
|
|
Share Final Call (see note-5) |
5,700 |
|
|
|
|
Share Capital |
720 |
|
Balance c/d |
28,088 |
|
(80 shares × Rs 9) |
|
|
|
|
|
|
31,688 |
|
|
31,688 |
|
|
|
|
|
|
Journal Entries |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
|
|
|
|
|
|
Share Application A/c |
Dr. |
|
14,400 |
|
|
To Share Capital A/c |
|
|
10,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
To Share Allotment A/c |
|
|
2,400 |
|
|
(Share application money of 2,000 shares transferred to Share Capital and Securities Premium at Rs 5 and Re 1 each respectively and Rs 2,400 adjusted on allotment) |
|
|
|
|
|
|
|
|
|
|
|
Share Allotment A/c |
Dr. |
|
4,000 |
|
|
To Share Capital A/c |
|
|
2,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
(Allotment due on 2,000 shares at Rs 2 each including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share First Call A/c |
Dr. |
|
6,000 |
|
|
To Share Capital A/c |
|
|
4,000 |
|
|
To Securities Premium A/c |
|
|
2,000 |
|
|
(First call due on 2,000 shares at Rs 3 each including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c (40 shares × Rs 8) |
Dr. |
|
320 |
|
|
Securities Premium A/c |
Dr. |
|
72 |
|
|
To Share Forfeiture A/c |
|
|
240 |
|
|
To Share Allotment A/c |
|
|
32 |
|
|
To Share First Call A/c |
|
|
120 |
|
|
(40 shares of Rs 10 each Rs 8 called with premium forfeited for non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Share Final Call A/c |
Dr. |
|
5,880 |
|
|
To Share Capital A/c |
|
|
3,920 |
|
|
To Securities Premium A/c |
|
|
1,960 |
|
|
(Final call due on 1,960 shares at Rs 3 each including Re 1 premium) |
|
|
|
|
|
|
|
|
|
|
|
Share Capital A/c |
Dr. |
|
600 |
|
|
Securities Premium A/c |
Dr. |
|
120 |
|
|
To Share Forfeiture A/c |
|
|
360 |
|
|
To Share First Call A/c |
|
|
360 |
|
|
(60 shares forfeited for non-payment of amount due) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
720 |
|
|
Share Forfeiture A/c |
Dr. |
|
80 |
|
|
To Shares Capital A/c |
|
|
800 |
|
|
(80 shares of Rs 10 each re-issued at Rs 9 per share fully paid-up) |
|
|
|
|
|
|
|
|
|
|
|
Share Forfeiture A/c |
Dr. |
|
400 |
|
|
To Capital Reserve |
|
|
400 |
|
|
(Balance of 80 reissued shares in Share Forfeiture Account transferred to Capital Reserve) |
|
|
|
|
|
|
|
|
|
As per the Revised Schedule VI of Companies Act, the Company's Balance Sheet is presented as follows.
XYZ Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
a. Share Capital |
1 |
19,920 |
b. Reserves and Surplus |
2 |
8,168 |
2. Non-Current Liabilities |
|
|
3. Current Liabilities |
|
|
Total |
|
28,088 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
3 |
28,088 |
Total |
|
28,088 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
……. shares of Rs 10 each |
- |
|
|
Issued Share Capital |
|
|
|
2,000 shares of Rs 10 each |
20,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,980 shares of Rs 10 each |
19,800 |
|
|
Add: Shares Forfeited (20 shares × Rs 6) |
120 |
19,920 |
|
|||
2 |
Reserves and Surplus |
|
|
|
Securities Premium |
7,768 |
|
|
Capital Reserve |
400 |
8,168 |
|
|
|
|
3 |
Cash and Cash Equivalents |
|
|
|
Cash at Bank |
28,088 |
|
|
|
|
Working Notes:
1. X’s Shares
Number of share applied by X
Money received on application (48 shares × Rs 6) |
= |
288 |
Less: Money transferred to Shares Capital (40 shares × Rs 5) |
= |
200 |
Less: Securities Premium (40 shares × Re 1) |
= |
40 |
Excess money on application from X |
= |
48 |
Utilisation of excess application money received from X |
|
|
Share Capital due on Allotment (40 shares × Re 1) |
= |
40 |
Less: Excess money on Application from X |
= |
48 |
Excess money after adjustment of Share Capital on Allotment |
= |
8 |
|
|
|
Securities Premium due on Allotment (40 shares × Re 1) |
= |
40 |
Less: Excess money after adjustment of Share Capital on Allotment |
= |
8 |
Calls-in-Arrears of Securities Premium on Allotment |
= |
32 |
2. Share Allotment
Money due on allotment (2,000 shares × Rs 2) |
= |
4,000 |
Less: Excess money on Application |
= |
2,400 |
|
= |
1,600 |
Less: Calls-in-Arrears on X‘s shares (securities premium) |
= |
32 |
Money received on allotment |
= |
Rs 1,568 |
3. Y’s Shares
Number of shares allotted
4. Share First Call
Money due on Share First Call (2,000 shares × Rs 3) |
= |
6,000 |
Less: Calls-in-Arrears on X‘s shares (40 shares × Rs 3) |
= |
120 |
Less: Calls-in-Arrears on Y’s shares (60 shares × Rs 3) |
= |
180 |
Money received on Share First Call |
= |
5,700 |
5. Share Final Call
Money due on share Final Call (1,960 shares × Rs 3) |
= |
5,880 |
Less: Calls-in-Arrears on Y’s shares (60 shares × Rs 3) |
= |
180 |
Money received on Share Final Call |
= |
5,700 |
Capital Reserve
X’s shares
Money received from X for 40 shares |
= |
288 |
Less: Securities Premium adjusted on Application |
= |
40 |
Less: Securities Premium adjusted on Allotment |
= |
8 |
Balance in the Share Forfeiture before re-issue of shares Cr. |
|
240 |
Share Forfeiture Credit |
= |
Rs |
6 |
per share |
Share forfeiture Debit |
= |
Rs |
1 |
per share |
|
|
Rs |
5 |
per share |
Capital Reserve on re-issue of 20 shares = Rs 5 × 20 shares = Rs 100
Y’s Shares
Share Forfeiture on 60 Shares of Y
Share Forfeiture Credit |
Rs 6 |
per share |
Less: Share Forfeiture Debit |
Rs 1 |
per share |
|
Rs 5 |
per share |
Capital Reserve on re-issue of 60 shares of Y = Rs 5 × 60 shares = Rs 300
Total Capital Reserve on 80 shares = Capital Reserve on re-issue of 20 shares of X + Capital Reserve on re-issue of 60 shares of Y = 100 + 300 = Rs 400
View NCERT Solutions for all chapters of Class 15