Question

A company issued 30,000shares of Rs 15each at a discount of Rs 1 per share payable Rs 5 on application and the balance on allotment. All the shares offered were applied for and allotted. The money due on allotment was received. Pass journal entries

Answer 1

Answer:

Bank A/c..Dr 150000

To share application 150000

Being shares sold at discount of 1Rs

share application..Dr 450000

To share capital 450000

Being share application money due

share allotment A/c..dr 300000

To share capital 300000

Bank.dr 270000

To share allotment 270000