Question

Vanities Itd. issued a prospectus inviting applications for 4,000 Equity shares of
20 each at a premium of 4 per share payable as follows :-
On Application * 4; on Allotment * 10 (including premium); on First call ? 6 and on
Second call 4. Applications were received for 6,000 shares and allotment was made
on pro-rata basis to the applicants of 4,800 shares, the applications for remaining
shares being refused. Money overpaid on application was used on account of sums
due on allotment. Harish, to whom 80 shares were allotted, could not pay the
allotment money on his subsequent failure to pay the First call, his shares were
forfeited after the First call. Mukesh, to whom 120 shares were allotted, failed to
pay the two calls and his shares were forfeited after the Second call. Of the shares
forfeited, 160 shares were sold to Suresh credited as fully paid at 18 per share,
all of Harish's forfeited shares being included. Pass the Journal entries in the books
of the company to record the above transactions.
Ao C1 2000
8​

Answer 1

Answer:

please check the attachment