Question 26 Chapter 8 of +2-A - T.S. Grewal 12 Class

Question 26 Chapter 8 of +2-A

Table of Contents

The solution of Question 26 Chapter 8 of +2-A: –

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

26. Bharat ltd. Made the first call of Rs 2 per share on its 1,00,000 equity shares on 1st March 2006. Ashok, a shareholder, holding 800 shares paid the second and the final call amount along with the first call amount was Rs 3 per share. Pass necessary journal entries for recording the above using the calls in advance Account.

The solution of Question 26 Chapter 8 of +2-A: –

Date	Particulars		L.F.	Debit	Credit
	Share first call A/c	Dr.		2,00,000
	To Share capital A/c				2,00,000
	(Being the first call money due )
	Cash A/c	Dr.		2,02,400
	To calls in advance A/c				2400
	To Equity share capital A/c				2,00,000
	(Being first call money received )
	Share second and final call A/c	Dr		2,97,600
	Calls in advance A/c	Dr		2400
	To Share capital A/c				3,00,000
	(Being the second and final call money due )
	Cash A/c	Dr		2,97,600
	To Share first call A/c				2,97,600
	(Being second and final call money received )

Cash Book		Cr.
Particulars (1)	Note no. (2)	Figures as at the end of the Previous Reporting Period (3)
I. Equity and Liabilities
1. Shareholders’ Funds
(a) Share Capital	(1)	37,000
		37,000

Equity share capital A/c		Cr.
Particulars	Details	Amount
Share capital
Authorized capital
8000 Equity share of Rs 10each		80,000
Issued capital
8000 equity shares of Rs 10 each		40,000
Subscribed capital
Subscribed and fully paid-up
8000 Equity shares of Rs 10 each(Rs 5 called)
On application (8000 *Rs 2 each )	16,000
On allotment (8000*Rs 1 each )- calls in arrear (250)	7750
On first call (8000 *Rs 1 each ) – calls in arrear (750)	7250
On first call (8000 *Rs 1 each )- calls in arrear ( 2000)	6000
		37,000
share capital (subscribed)		37,000