Question

calculate the amount of subscription..​

Answer 1

Answer:

17. Doller Ltd. Issued a prospectus inviting application for 1,00,000 shares of 3 10 each 32 on application: 5

4 on allotment; 4 on First and Final Call. Application were received for 1,20,000 shares. Allotment Was

made as under:

a. To applicants for 20,000 shares → in full.

b. To applicants for 40,000 shares → 30,000 shares.

c. To applicants for 60,000 shares → 50,000 shares.

The shares were fully called and paid up except amounts on allotment and call, not paid by those

who applied for 2,000 shares out of the group applying for 40,000 shares. These shares were forfeited by the

directors and 1,200 shares of them were re-issued @ 57 per share. Show the Journal entries in the books of

the company

(8)

Answer 2

Answer :

The amount of Subscription will be ;

Subscription rcvd for year 2020 - 14,000

Less : Subs. for the year 2019 - 600

________

13,400

Less : Subs. for the year 2021 - 800

_______

12,600

Add : Subs. O/s for the year 2021 - 500

________

13,100

Amount of Subscription - 13,100

Therefore, Amount Of Subscription to be shown in income and expenditure account is 13,100.