2. Y Ltd. forfeited 300 shares of Rs. 10 each, Rs 7 called up on which Mohan had paid application and allotment money of Rs. 5 per share. Of these 160 shares were re-issued to Sohan as fully paid up for 6 per shares.
Answers
Answer:
Equity Share Capital A/c Dr.
3,0003,000
To Equity Share Allotment money A/c (300×(300× Rs.3)3)
900900
To Equity Share Final Call A/c(300×(300× Rs. 4)4)
12,0012,00
To Forfeited Shares A/c(300×(300×Rs. 3)3)
900900
(Being the forfeiture of 300300 equity shares of Rs. 1010 each for non-payment of allotment money and final call, held by Ramesh as per Board's resolution No _______ dated ______)
(b)Bank Account(300×8) Dr.(300×8)
2,4002,400
Forfeited Shares Account (300×2) Dr.(300×2)
600600
To Equity Share Capital Account
3,0003,000
(Being the re-issue of 300300 forfeited shares @@ Rs. 88 each as fully paid up to Suresh as per Board's resolution No _____ dated_______)
(c)Forfeited Shares Account Dr.
300300
To Capital Reserve Account
300300
(Being the profit on re-issue, transferred to capital reserve)