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Question no 60 Chapter 1- Class 12 Part 2 Unimax
JYANTI Ltd. invited application for issuing 90,000 shares of 20 each at a premium of ₹ 40 per share. The amount was payable as follows:
| On application | ₹ 40 (including ₹30 premium) |
| On allotment | ₹ 12 (including ₹ 4 premium) |
| On first & final call | Balance |
Application for 87,000 shares were received. Shares were allotted to the applicants. NITTU to whom 10,000 shares were allotted failed to pay the allotment money. His shares were forfeited immediately after allotment. Afterwards, the first and final call was made. ISHU the holder of 500 shares failed to pay the first and final call. His shares were also forfeited. Out of the forfeited shares, 100 shares, 100 shares were reissued at ₹ 40 per share fully paid up. The reissued shares included all the shares of ISHU.
Pass necessary journal entries for the above transaction in the books of JYANTI Ltd.
| Date | Particulars |
L.F. | Debit | Credit | |
|---|---|---|---|---|---|
| Bank A/c | Dr. | 34,80,000 | |||
| To Equity Shares Application A/c | 34,80,000 | ||||
| (Being application money received on 87,000 shares @ ₹ 40 per share) | |||||
| Equity shares Application A/c | Dr. | 34,80,000 | |||
| To Equity share capital A/c | 8,70,000 | ||||
| To securities premium reserve A/c | 26,10,000 | ||||
| (Being application money transferred to share capital a/c) | |||||
| Equity share Allotment A/c | Dr. | 10,44,000 | |||
| To Equity shares capital A/c | 6,96,000 | ||||
| To securities premium reserve A/c | 3,48,000 | ||||
| (Being allotment money due on 87,000 shares @ ₹ 12 per share) | |||||
| Bank A/c | Dr. | 10,32,000 | |||
| To Equity Share Allotment A/c | 10,32,000 | ||||
| (Being allotment money received on 86,000 shares) | |||||
| Equity shares first call A/c | Dr. | 18,000 | |||
| Securities premium reserve A/c | Dr. | 4,000 | |||
| To equity share allotment A/c | 12,000 | ||||
| To forfeited share A/c | 10,000 | ||||
| (Being 1,000 shares forfeited due to non-payment of allotment money) | |||||
| Equity share first & final call A/c | Dr. | 6,88,000 | |||
| To equity shares capital A/c | 1,72,000 | ||||
| To securities premium reserve A/c | 5,16,000 | ||||
| (Being amount due on first & final call on 85,500 shares) | |||||
| Bank A/c | Dr. | 6,84,000 | |||
| To equity share first & final call A/c | 6,84,000 | ||||
| (Being share first & final call money received on 85,500 shares) | |||||
| Equity share capital A/c | Dr. | 10,000 | |||
| Securities premium reserve A/c | Dr. | 3,000 | |||
| To equity share first & final call A/c | 4,000 | ||||
| To share forfeited A/c | 9,000 | ||||
| (Being 500 shares forfeited for non-payment of call money) | |||||
| Bank A/c | Dr. | 40,000 | |||
| To equity share capital A/c | 20,000 | ||||
| To securities premium reserve A/c | 20,000 | ||||
| (Being 1,000 forfeited shares reissued) | |||||
| Share forfeited A/c | Dr. | 14,000 | |||
| To capital reserve A/c | 14,000 | ||||
| (Being on reissued of shares, transferred to capital reserve A/c) | |||||
Working Note:
Calculation forfeited of profit on reissue
| Amount forfeited on ISHU ’s 500 shares | = ₹ 9000 |
| Amount forfeited on NITTU ’s 500 shares | 500/1,000 X 10,000 =5,000 |
| Amount transferred to capital reserve A/c | = 14000 |
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 60 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.
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