Question

atio
Kadur eldi invited applications
for issuing 2,90,000 euthy shares
af Floeach at apremion of 24
Per share. The amount was
payable as under.
on application se per share
including premiun 82)
On allotment 2 & per share
on Frosts final call F 6 per
Share​

Answer 1

Answer:

Applications for 5,00,000 shares were received. It was decided : (a) to refuse allotment to the applicants for 20,000 shares; (b) to allow in full to applicants for 80,000 shares; (c) to allow the balance of the available shares’ pro-rata among the other applicants; and (d) to utilise excess application money in part as payment of allotment money. One applicant, whom shares had been allotted on pro-rata basis, did not pay the amount due on the allotment and on the call, and his 400 shares were forfeited. The shares were reissued @ Rs.9 per share. Show the journal and prepare Cashbook to record the above.Read more on Sarthaks.com - https://www.sarthaks.com/103534/alfa-limited-invited-applications-for-00-000-of-its-equity-shares-each-the-following-terms