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✦ FREE LEARNING — CLASS 11 & 12 — CBSE · PSEB — ACCOUNTS · ECONOMICS · BST ✦
Dell Ltd. forfeited 2,000 Equity Shares of ₹50 each, issued at a 10% premium, on which the allotment money of ₹15 per share (including premium) and the first call of ₹15 per share were not received; the second and final call of ₹10 per share was not yet called. Calculate the ‘Discount Allowed or Premium Received’ and ‘Amount transferred to Capital Reserve’ on reissue of 200 of these shares as fully paid-up, in each of the following cases: Case 1: reissued as ₹40 paid-up for ₹45 per share. Case 2: reissued as ₹40 paid-up for ₹40 per share. Case 3: reissued as ₹40 paid-up for ₹35 per share. Case 4: reissued as ₹40 paid-up for ₹25 per share. Case 5: reissued at ₹35 per share as fully paid-up.
Amount forfeited (application money) = ₹15 per share × 2,000 shares = ₹30,000; for the 200 shares being reissued, the proportionate forfeited amount = 15 × 200 = ₹3,000.
RESULT OF REISSUE (200 shares)
| Case | Discount Allowed / Premium Received | Amount to Capital Reserve |
|---|---|---|
| 1: ₹40 paid-up, reissued for ₹45 | Premium ₹1,000 | ₹3,000 |
| 2: ₹40 paid-up, reissued for ₹40 | Nil | ₹3,000 |
| 3: ₹40 paid-up, reissued for ₹35 | Discount ₹1,000 | ₹2,000 |
| 4: ₹40 paid-up, reissued for ₹25 | Discount ₹3,000 | Nil |
| 5: Fully paid-up (₹50), reissued for ₹35 | Discount ₹3,000 | Nil |
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.61 - 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.
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