Loading Tutorstips...
✦ FREE LEARNING — CLASS 11 & 12 — CBSE · PSEB — ACCOUNTS · ECONOMICS · BST ✦
Bhushan Lamp Ltd. issued 30,000 fully paid-up shares of ₹100 each for the purchase of the following assets and liabilities from Sharma & Co.: Plant ₹7,00,000; Stock-in-Trade ₹9,00,000; Land and Building ₹12,00,000; Sundry Creditors ₹2,00,000. Pass the necessary Journal entries.
JOURNAL (Books of Bhushan Lamp Ltd.)
| Date | Particulars | L.F. | Dr. (₹) | Cr. (₹) |
|---|---|---|---|---|
| Goodwill A/c Dr. | 4,00,000 | |||
| Plant A/c Dr. | 7,00,000 | |||
| Stock-in-Trade A/c Dr. | 9,00,000 | |||
| Land and Building A/c Dr. | 12,00,000 | |||
| To Sundry Creditors A/c | 2,00,000 | |||
| To Sharma & Co. | 30,00,000 | |||
| (Assets purchased and liabilities accepted from Sharma & Co.; purchase consideration of ₹30,00,000 exceeds net assets of ₹26,00,000 by ₹4,00,000, recognised as Goodwill) | ||||
| Sharma & Co. Dr. | 30,00,000 | |||
| To Share Capital A/c | 30,00,000 | |||
| (30,000 shares of ₹100 each issued to Sharma & Co., at par) |
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 "T.S. Grewal Class 12 Vol 2 Chapter 1 Q.46 - Share Capital", focusing on key definitions, step-by-step concepts, applications, and revision guidelines relevant to Chapter 1 - Share Capital.
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 "T.S. Grewal Class 12 Vol 2 Chapter 1 Q.46 - Share Capital" instantly.