Question no 66 Chapter 1 – UNIMAX Class 12 Part 2 – 2021

Question no -66 Chapter no-1 Unimax Class-12 Part-II
Question no -66 Chapter no-1 Unimax Class-12 Part-II


Question No  66 Chapter 1 – UNIMAX  Class 12 Part 2 – 2021


A company issued for public subscription 50,000 equity shares of ₹ 10 each at a premium of ₹ 2 per share, payable as under:

On application₹ 2 per share
On allotment₹ 5 per share (including premium)
On first ₹ 2 per share
On final call₹ 3 per share

Application were received for 75,000 equity shares. The shares were allotment pro-rata to the applicants for 60,000 shares, the remaining application being rejected. Money overpaid on application was utilized towards the sum due on allotment. A, to whom 2,000 shares were allotted, failed to pay the allotment and two calls and B, to whom 2,500 shares, were allotted, failed to pay the two calls. These shares were subsequently forfeited after the final call was made. All the forfeited shares were sold at X as fully paid up at ₹ 8 per shares. Pass the journal entries required to record the above TRANSACTINS.

The solution of Question 66 Chapter 1 of +2 Part-2: –

 Books of Sakshi

Date  Particulars
 Bank A/cDr. 1,50,000 
 To share application A/c   1,50,000
 (Being share application money received on 75,000 shares @ ₹ 2 each)    
 Share application A/cDr. 1,50,000 
 To share capital A/c  100000
 To share allotment A/c  20,000
 To bank A/c  30,000
 (Being share application a/c closed after adjusting excess amount on allotment and balance refunded)    
 Shares allotment A/cDr. 2,50,000 
 To shares capital A/c  1,50,000
 To securities premium A/c  1,00,000
 (Being allotment money due on 50000 shares @ ₹ 5 each included premium)    
 Bank A/cDr. 2,20,800 
 To shares allotment A/c  2,20,800
 (Being allotment money received)    
 Share first call A/cDr. 1,00,000 
 To shares capital A/c  1,00,000
 (Being first call money due on 50000 shares @ ₹ 2 each)   
 Bank A/cDr. 91,000 
 To share first call A/c  91,000
 (Being share first call money received with the exception of 4500 shares @ 2 each)   
 Share final call A/cDr. 1,50,000 
 To share capital  1,50,000
 (Being share final call money due on 50,000 shares @ 3 each)   
 Bank A/cDr. 1,36,500 
 To share capital A/c   1,36,500
 (Being share final call money received with the exception of 4500 shares)    
 Share forfeited A/cDr.  45,000 
 Securities premium A/cDr.  4000 
 To share first call A/c   9,000
 To share final call A/c   13,500
 To share forfeited A/c   17,300
 To share allotment A/c   9,200
 (Being 4500 shares forfeited for non-payment of allotment and call money)    
 Bank A/cDr. 36,000 
 Share forfeited A/cDr. 9,000 
 To share capital A/c   45,000
 (Being 4500 share reissued @ ₹ 8 per share)    
 Share forfeited A/cDr. 8,300 
 To capital reserve A/c   8,300
 (Being balance of share forfeited a/c transferred to capital reserve A/c)    

Working Note:

 Shares appliedShares allotted
Lot 115000Nil
Lot 26000050000

1 Table showing adjustment of excess amount received on application.


 Lot 1Lot 2total
No. of shares applied150006000075000
Less: no. of shares allottedNil5000050000
Over subscription150001000025000
Excess amount received on application300002000050000
Less: amount adjusted on allotmentNil2000020000
Refunded to be made30000Nil30000

2 Calculation of unpaid amount on allotment on 2000 shares held by a Share holder

No. of shares applied by a Share holder2400 shares
Amount received on application @ ₹ 2 (2400*2)4800
Less: actual application amount on 2000 shares allotted to (2000*2)4000
Amount to be adjusted on allotment800
Amount due on allotment from A (2000*5)10000
Less: amount already received now to be adjusted800
Unpaid amount on 8000 shares of A on allotment9200

3 Net Amount received on allotment

Total amount due on allotment (50,000 *5)250000
Less: amount already adjusted an allotment20000
Less: unpaid amount received on allotment9200
Net amount received on allotment220800

4 Calculation of amount to be transferred to Capital Reserve

Total amount forfeited 17300
Less: loss on reissued of 1000 shares (4500*2) 9000
 Net Amount transferred to capital reserve 8300

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Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution

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