beta Limited issue 10000 share of rupees 10 each payable rupees 2 on application rupees 3 on allotment and balance on two equal calls of equal amount .
Ram failed allotment and first call on 300 share and his share were forfeited.
share final call was then made. Mohan holding 200 Share failed to pay final call and his share were also forfeited.
company reissued 400 share @8 full paid up.
Answers
Answer:
bank.... Dr. 20,000
to share application 20,000
share application 20,000
to share capital 20,000
share allotment 30,000
to share capital 30,000
bank 29,100
calls in arrears 900
to share allotment 30,000
share first call 12,500
to share capital 12,500
bank 11,750
calls in arrears 750
to share first call 12,500
share capital (7.5×300) 2250
to share forfeiture (2×300) 600
to share allotment (3×300) 900
to share first call (2.5×300) 750
share final call 24,250
to share capital 24,250
bank 23,750
calls in arrears 500
to share final call 24,250
share capital (10×200) 2000
to share forfeiture (7.5×200) 1500
to share final call (2.5×200) 500
bank (400×8) 3200
share forfeiture (400×2) 800
to share capital (400×10) 4000
share forfeiture 880
to capital reserve 880
forfeiture : amount
500 : 2100 --> 5:21
400 : ?
400×21/5 = 1680
less :- loss (800)
880 to be transferred to capital reserve