Question 56 Chapter 8 of +2-A - T.S. Grewal 12 Class

Question 56 Chapter 8 of +2-A – T.S. Grewal 12 Class

By Shubham Sharma 4 Min Read December 20, 2020

Question No.56. - Chapter No.8 - T.S. Grewal +2 Book 2019-Solution-min-min

Question 56 Chapter 8 of +2-A

Table of Contents

The solution of Question 56 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)

56. Star ltd. Forfeited 500 equity shares of Rs 100 each for non-payment of the first call of Rs 30 per share. The final call of Rs 10 per share was not yet made. Out of these, 60 % of shares were reissued for Rs 39,000 fully paid.
Journalise the forfeiture and reissue of shares.

The solution of Question 56 Chapter 8 of +2-A: –

	I
Date	Particulars		L.F.	Debit	Credit
	Share capital A/c	Dr		45,000
	To Share first call A/c				15,000
	To forfeited shares A/c				30,000
	(Being share forfeited )
	Bank A/c	Dr		39,000
	To Share capital A/c				30,000
	To Share capital premium A/c				9,000
	(Being forfeited share reissue )
	Forfeited share A/c	Dr		18000
	To capital Reserve A/c				18000
	(Being the gain on reissue transferred to capital reserve )

Note.1 –
Amount transferred to capital reserve
Share re-issued=300
Share forfeited=500
Amount forfeited share (300 shares )
=amount forfeited*share re-issue/share forfeited
= 30,000* 300/500= 18,000

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