Accountancy, asked by shubamkumar2601, 7 months ago


11. J. P. Ltd. purchased building costing 70,00,000 from M/s Construction Ltd. The company
paid 20,50,000 by cheque and for the balance issued equity shares of 100 each in favour
of M/s Construction Ltd. Pass necessary Journal entries in the books of J.P. Ltd. for the
purchase of building and making payments if shares were issued at a premium of 25%.

Answers

Answered by harshbenwial
9

Answer:

Building a/c dr. 7000000

To m/s construction AC 7000000

M/s construction AC dr. 2050000

To Bank AC 2050000

M/s construction AC dr. 4950000

To equity share capital AC 3960000

To securities premium ac 990000

Explanation:

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