Question

24. A Ltd. forfeited 2,000 shares of 10 each fully called up for non-payment
final call of 2 per share. 1,200 of these shares were reissued at *7 per shat
fully paid up . what is net balance in share forfeiture account
​

Answer 1

Answer:

credit balance of share forfeiture = 2000×8=16000

profit of 2000 share = 16000

profit in 1200 share= 16000/2000×1200=9600

net balance in share forfeiture = 16000-9600

= 6400

Answer 2

"14800"

Explanation:

Share Capital a/c [2000x10]                              dr  20000

        To Share Final Call a/c [2000x2]                                      4000

        To Forfeiture Share a/c [2000x8]                                    16000

(Being the forfieture of shares)

Bank a/c [1200x7]                                               dr  8400

Forfeiture Shares a/c [1200x1]                           dr  1200

        To Share Capital a/c [1200x8]                                           9600

(Being share reissued)

Balance on Forfeiture = 16000 - 1200 = 14800