Question

4 X limited has an Authorized capital off 40, 00, 000 divided into equity shares of 10

each.The company invited applications for 92, 000 shares from public at a premium of

10% and 5, 000 shares are allotted to vendor ram as fully paid up for machinery

purchased.The amount payable as follows

App -3. All – 5. First call 2, second and final Call 1

Applications for 90, 000 share were received from public. 2nd and final call were not

made. On 2000 shares first call money was not received And shares forfeited. Out of

forfeited shares 1500 shares were reissued for 7 per share as 9 called up. Shankar holding

800 shares paid the second call with first call money.Show how share capital will appear

in the balance sheet. And also prepare notes to account



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Answer 1

Answer:

limited has an Authorized capital off 40, 00, 000 divided into equity shares of 10

each.The company invited applications for 92, 000 shares from public at a premium of

10% and 5, 000 shares are allotted to vendor ram as fully paid up for machinery

purchased.The amount payable as follows

App -3. All – 5. First call 2, second and final Call 1

Applications for 90, 000 share were received from public. 2nd and final call were not

made. On 2000 shares first call money was not received And shares forfeited. Out of

forfeited shares 1500 shares were reissued for 7 per share as 9 called up. Shankar holding