Question no 41 Chapter 1- Class 12 Part 2 Unimax

Question no 41 Chapter 1- Class 12 Part 2 Unimax

(a) A holds 100 shares of ₹ 10 each, on which he has paid only ₹ 2.50 per shares as application money
(b) B, who holds 200 shares of ₹ 10 each, has paid ₹ 2.50 paid ₹ 2 per share as application and allotment money respectively.
(c) C holds 300 shares of ₹ 10 each and has paid ₹ 2,50 per share on application, 2 per share on allotment and ₹ 3 per share on first call.
They failed to pay their arrears and the final call. Therefore, the forfeited their shares. These shares were subsequently reissued for cash at a discount of 10 per cent. Record journal entries in the books of the company to give effect to the above.

The solution of Question no 41 Chapter 1- Class 12 Part 2 Unimax: -

Journal
Books of of Sakshi

Date	Particulars		L.F.	Debit	Credit
	Bank A/c	Dr.		1,500
	To Shares Application A/c				1,500
	(Being application money received on 600 shares @ ₹ 2.50 per share)
	Shares Application A/c	Dr.		1,500
	To Share capital A/c				1,500
	(Being application money transfer to share capital a/c)
	Share Allotment A/c	Dr.		1,200
	To Shares capital A/c				1,200
	(Being allotment money due on 600 shares @ ₹ 2 per share)
	Bank A/c	Dr.		1,000
	Calls in arrear A/c	Dr.		200
	To Share Allotment A/c				1,200
	(Being receipt of allotment money on 500 shares @ ₹ 2 per share)
	Shares first call A/c	Dr.		1,800
	To Share capital A/c				1,800
	(Being first call money due on 600 shares @ ₹ 3 per share)
	Bank A/c	Dr.		900
	Calls in arrears A/c	Dr.		900
	To Share first call A/c				1,800
	(Being first call money received on 300 shares @ ₹ 3 per share)
	Share second and final call A/c	Dr.		1,500
	To share capital A/c				1,500
	(Being 2nd and final call money due on 600 share @ ₹ 2.50 per share)
	Calls in Arrear A/c	Dr.		1,500
	To Share second and final Call A/c				1,500
	(Being shares second and final call money did not received on 600 shares @ ₹ 2.50 per shares so calls in arrear opened)
(A)	Share capital A/c	Dr.		1,000
	To share forfeited A/c				250
	To Calls in arrear A/c				750
	(Being 100 shares of A forfeited due to non- payment of calls)
(B)	Share capital A/c	Dr.		2,000
	To share forfeited A/c				900
	To Calls in arrear A/c				1,100
	(Being 200 shares of B forfeited due to non- payment of calls)
(c)	Share capital A/c	Dr.		3,000
	To share forfeited A/c				2,250
	To Calls in arrear A/c				750
	(Being 300 shares of C forfeited due to non- payment of calls)
	Bank A/c	Dr.		5,400
	Shares forfeited A/c	Dr.		600
	To share capital A/c				6,000
	(Being 600 forfeited shares reissued at 10% discount)
	Share forfeited A/c	Dr.		2,800
	To Capital reserve A/c				2,800
	(Being the profit on 600 forfeited shares transferred to capital reserve A/c)