Question

Q. 122. Vinod Papers Ltd. invited applications for issuing 1,00,000 shares of 10
each at a premium of R4 per share payable as follows:
On Application
24 (including premium *2)
On Allotment
34 (including premium 2)
On First & Final Call
6
Applications were received for 1,30,000 shares and pro-rata allotment was made
to all applicants as follows:
(i) Applicants for 80,000 shares were allotted 60,000 shares, and
(ii) Applicants for 50,000 shares were allotted 40,000 shares.
X, who belonged to the first category and was allotted 900 shares failed to pay the
allotment and call money.
Y, who belonged to the second category and who applied for 1,000 shares also
failed to pay the allotment and call money. Their shares were forfeited and 1,400 of the
forfeited shares were re-issued @ 39 per share as fully paid. Re-issued shares include
whole of Y's shares.​

Answer 1

Answer:

(Both Classes of Shares/Cash Book) Y Ltd. was formed with an authorised capital

* 40,00.000 divided into 3,00,000 equity shares of 10 each and 10,000 Preference shares

* 100 each. Both classes of shares were issued to the public in full and they are to be pa

Preference shar

follows:

Equity shares

Application

20 percent

Allotment

30 percent

First call

50 percent

Second call

All the calls were made and in due course the money were received in full. Give

necessary journal entries and prepare Cash Book.

25 perc

25 perc

25 perc

25 perc