Question

2. Sharad Ltd. was formed on 1st Jan., 2009, with an authorized capital of Rs. 3,00,000 divided into
10,000, 8% Pref. Shares of Rs. 10 each and 20,000 Equity Shares of Rs. 10 each. 8,000, 8% Pref.
Shares and 15,000 Equity Shares were issued to the public, payable as follows:
Rs. 2 on application, Rs. 3 on allotment, Rs. 2 on first call and Rs. 3 on second and final call.
Applications were received for the shares issued and all these shares were duly allotted and paid.
Record these transactions in the following cases and prepare Balance Sheet in the books of Sharad
Ltd.:
(a) when no direct record is made in the Cash Book and records of application and allotment are
made separately; (b) when direct record is made in the Cash Book and records of application and
allotment are made separately; (c) when no record is made in Cash Book and only one account is
opened for application and allotment; (d) when record is made in the Cash Book and only one account
is opened for application and allotment.
Ans. B/S Rs. 2,30,000
Over omheerintion and Return of Troca in coob.​

Answer 1

Answer:

sub-divided into 10 equity ... b) Issue of 9% Preference shares of Rs. 100 each in the rate of 4 ... for every 5 preference shares held in Mini Ltd.