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M.96 An Aid to Accountancy—CBSE XII
17. (a) JOURNAL

Date Particulars L.F. Dr. (`) Cr. (`)
Share Capital A/c (200 × ` 50) ...Dr. 10,000
To Shares Allotment A/c 2,800
To Forfeited Shares A/c 7,200
(Being 200 shares forfeited for non-payment of allotment money) (WN)
Bank A/c (200 × ` 90) ...Dr. 18,000
To Share Capital A/c (200 × ` 80) 16,000
To Securities Premium Reserve A/c (200 × ` 10) 2,000
(Being 200 forfeited shares reissued @ ` 90 per share, ` 80 called-up)
Forfeited Shares A/c ...Dr. 7,200
To Capital Reserve A/c 7,200
(Being the transfer of profit on reissue of forfeited shares)
Working Note: Calculation of Amount due on Allotment but not received:
Ê 12,000 ˆ
No. of shares applied by Mohan = 200 ¥ 10,000 ˜ ¯ = 240 shares
Á
Ë
Application money received from Mohan = 240 × ` 30 = ` 7,200
Excess application money adjusted on allotment = 40 × ` 30 = ` 1,200
Allotment money due on 200 shares = 200 × ` 20 = ` 4,000
Allotment money due but not received = ` 4,000 – ` 1,200 = ` 2,800.
(b) JOURNAL OF STAR LTD.

Date Particulars L.F. Dr. (`) Cr. (`)
For Purchase of Assets:
Sundry Assets A/c ...Dr. 99,000
To Moon Ltd. 99,000
(Being the sundry assets purchased from Moon Ltd. for ` 99,000)
(i) Issue of Debentures at Par:
Moon Ltd. ...Dr. 99,000
To 11% Debentures A/c 99,000
(Being the allotment of 990; 11% Debentures of ` 100 each at par to Moon Ltd.)
(ii) Issue of Debentures at Premium:
Moon Ltd. ...Dr. 99,000
To 11% Debentures A/c 90,000
To Securities Premium Reserve A/c 9,000
(Being 900 (` 99,000 ÷ ` 110); 11% Debentures of ` 100 each issued at a
premium of 10% to Moon Ltd.)
(iii) Issue of Debentures at Discount:
Moon Ltd. ...Dr. 99,000
Discount on Issue of Debentures A/c ...Dr. 11,000
To 11% Debentures A/c 1,10,000
(Being 1,100 (` 99,000 ÷ ` 90); 11% Debentures of ` 100 each issued at a
discount of 10% to Moon Ltd.)
Or
(a) AN EXTRACT OF BALANCE SHEET OF MARS LTD. as at ...
Particulars Note No. `
EQUITY AND LIABILITIES
Shareholders’ Funds
Share Capital 1 19,90,000