High hopes Ltd. made an issue of 3,00,000 shares (equity) of 10 cach payable as follows :on application<br />* 5 per share (including premium)<br />on allotment<br />4 per share<br />on call 3<br />рег<br />share<br />Applications were received for 4,20,000 shares. No allotment was made for 20,000 shares applied for<br />and the amount received thereon was refunded along with letters of regret. 3,00,000 shares were allotted<br />pro-rata) amongst the applicants for 4,00,000 shares, the excess application money being adjusted with<br />the amount due on allotment. Mr. Jacob who had applied for 1,200 shares failed to pay the allotment<br />money. Mr. Kashyap another shareholder holding 1,500 shares failed to pay the call money. Shares of<br />Mr. Jacob were forfeited after the call was made. 500 shares out of the forfeited shares were re-issued<br />as fully paid on payment of 9 per share to Mr. Mutu. Show the journal entries in the books of the<br />company.
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High hopes Ltd. made an issue of 3,00,000 shares (equity) of 10 cach payable as follows :on application<br />* 5 per share (including premium)<br />on allotment<br />4 per share<br />on call 3<br />рег<br />share<br />Applications were received for 4,20,000 shares. No allotment was made for 20,000 shares applied for<br />and the amount received thereon was refunded along with letters of regret. 3,00,000 shares were allotted<br />pro-rata) amongst the applicants for 4,00,000 shares, the excess application money being adjusted with<br />the amount due on allotment.
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