Loading Tutorstips...
✦ FREE LEARNING — CLASS 11 & 12 — CBSE · PSEB — ACCOUNTS · ECONOMICS · BST ✦
Advertisement
Advertisement
Advertisement
Advertisement
Question no 59 Chapter 1- Class 12 Part 2 Unimax
A company issued 1,000 shares of ₹ 100 each, at a premium of ₹ 5 per share, payable as under:
| On application | ₹ 30 |
| On allotment | ₹ 25 (including premium) |
| On first call | ₹ 20 |
| On final call | ₹ 30 |
Applications were received for 900 shares and allotment was made in full. A shareholder failed to pay the first call on his 100 shares. These shares were forfeited and reissued at ₹ 60 per share, considering as ₹ 70 per share paid up. Final call has not been made.
Make entries in the cash book and the journal.
Cash book
|
Date |
Particulars | Amount | Date | Particulars | Amount |
|---|---|---|---|---|---|
| To share application A/c | 27,000 | By balance c/d | 71,500 | ||
| To share allotment A/c | 22,500 | ||||
| To share first call A/c | 16,000 | ||||
| To share capital A/c | 6,000 | ||||
| 71,500 | 71,500 |
| Date | Particulars |
L.F. | Debit | Credit | |
|---|---|---|---|---|---|
| Bank A/c | Dr. | 27,000 | |||
| To share application A/c | 27,000 | ||||
| (Being application money received on 900 share) | |||||
| Share application A/c | Dr. | 27,000 | |||
| To share capital A/c | 27,000 | ||||
| (Being application money transferred to share capital a/c) | |||||
| Shares allotment A/c | Dr. | 22,500 | |||
| To shares capital A/c | 18,000 | ||||
| To securities premium reserve A/c | 4,500 | ||||
| (Being allotment money due on 9,000 shares @ ₹ 25 per share including premium of ₹ 5 per share) | |||||
| Bank A/c | Dr. | 22,500 | |||
| To shares allotment A/c | 22,500 | ||||
| (Being allotment money received) | |||||
| Share first call A/c | Dr. | 18,000 | |||
| To shares capital A/c | 18,000 | ||||
| (Being first call money due on 900 shares @# ₹ 20 per share) | |||||
| Bank A/c | Dr. | 16,000 | |||
| Calls in arrears A/c | Dr. | 2000 | |||
| To share first call A/c | 18,000 | ||||
| (Being share first call money received on 100 shares) | |||||
| Share capital A/c | Dr. | 7,000 | |||
| To share first call A/c | 2,000 | ||||
| To share forfeited A/c | 5,000 | ||||
| (Being 100 shares forfeited due to non-payment of first call) | |||||
| Bank A/c | Dr. | 6,000 | |||
| Share forfeited A/c | Dr. | 1,000 | |||
| To share capital A/c | 7,000 | ||||
| (Being forfeited shares reissued at ₹ 60, considering ₹ 70 paid up) | |||||
| Share forfeited A/c | Dr. | 4,000 | |||
| To capital reserve A/c | 4,000 | ||||
| (Being the profit on 100 share forfeiture transferred to capital reserve A/c) | |||||
Working Note:
| Amount forfeited on 100 shares | = ₹ 5,000 |
| Less: Discount allowed on reissued share | = ₹ 1,000 |
| Balance credited to capital reserve A/c | = ₹ 4,000 |
Accounting & Commerce Educator
Sarbjit Singh holds a B.Com and M.Com degree and has over 12 years of teaching experience in double entry bookkeeping, financial accounting, and business studies.
This guide covers "Question no 59 Chapter 1- Class 12 Part 2 Unimax", focusing on key definitions, step-by-step concepts, applications, and revision guidelines relevant to Unimax Accountancy Class 12 Part 2 - 2023.
It is primarily curated for Class 11 and Class 12 high school commerce, accounting, and economics students, as well as aspirants preparing for board exams or CA Foundation.
You can take our custom-built interactive practice quiz directly on this page to test your understanding of "Question no 59 Chapter 1- Class 12 Part 2 Unimax" instantly.
