High Light India Ltd. invited applications for 30,000 Shares of Rs. 100 each at a premium
of Rs. 20 per share payable as follows :
On Application Rs. 40 (including Rs.10 premium)
On Allotment Rs. 30 (including Rs.10 premium)
On First Call Rs. 30
On Second & Final Call Rs. 20
Applications were received for 40,000 shares and pro-rata allotment was made on the
application for 35,000 share. Excess application money is to be utilised towards allotment.
Rohan to whom 600 Shares allotted failed to pay the allotment money and his shares were
forfeited after allotment.
Aman who applied for 1,050 shares failed to pay first call and his share were forfeited after
Ist Call.
Second and final call was made. All the money due on IInd call have been received.
Record necessary journal entries in the books of High Light India Ltd.
Answers
Answer:
A journal is a book that contains the initial documentation of all business transactions.
Explanation:
What is meant by journal entries?
- A journal is a book that contains the initial documentation of all business transactions. Journalizing refers to the act of entering transactions in a journal. Each transaction has an impact on two accounts, one of which is debited and the other is credited.
- Cash is put into the business's bank account, debiting the cash account. On the balance sheet, cash is an asset account. The owners' equity account is the credit side of the entry.
Bank A/c Dr. 1200000
To share application A/c 900000
To securities premium A/c 300000
Share Application/c Dr.1200000
To share Capital A/c 900000
To securities premium A/c 300000
Share Allotment A/c Dr. 600000
securities Primiun A/c Dr. 300000
To Share Capital A/c 900000
Bank A/c Dr. 900000
To share Allotment A/c 600000
To securities Premium A/c 300000
Share First Call A/c Dr. 900000
To Share Capital A/c 900000
Bank A/c Dr. 900000
To Share First Call A/c 900000
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Answer:
A journal is a book that contains the initial documentation of all business transactions.
Explanation:
What is meant by journal entries?
A journal is a book that contains the initial documentation of all business transactions. Journalizing refers to the act of entering transactions in a journal. Each transaction has an impact on two accounts, one of which is debited and the other is credited.
Cash is put into the business's bank account, debiting the cash account. On the balance sheet, cash is an asset account. The owners' equity account is the credit side of the entry.
Bank A/c Dr. 1200000
To share application A/c 900000
To securities premium A/c 300000
Share Application/c Dr.1200000
To share Capital A/c 900000
To securities premium A/c 300000
Share Allotment A/c Dr. 600000
securities Primiun A/c Dr. 300000
To Share Capital A/c 900000
Bank A/c Dr. 900000
To share Allotment A/c 600000
To securities Premium A/c 300000
Share First Call A/c Dr. 900000
To Share Capital A/c 900000
Bank A/c Dr. 900000
To Share First Call A/c 900000
To learn more about journal entries refer to:
brainly.in/question/163967
brainly.in/question/1718750
#SPJ2