Page 421 - AAAXII

Model Test Papers M.403

Or
Share Capital A/c ...Dr. 40,000
To Calls-in-Arrears A/c 32,000
To Forfeited Shares A/c 8,000
(Being 4,000 shares forfeited for non-payment of allotment
and first and final call money)
Bank A/c (4,000 × ` 3) ...Dr. 12,000
Forfeited Shares A/c (4,000 × ` 2) ...Dr. 8,000
To Share Capital A/c 20,000
(Being 4,000 forfeited shares reissued to Y for ` 3 per share as ` 5 paid-up)

Dr. BANK ACCOUNT Cr.
Particulars ` Particulars `
To Shares Application A/c 1,90,000 By Shares Application A/c 10,000
To Share Allotment A/c 1,08,000 By Balance c/d 5,50,000
To Shares First and Final Call A/c 2,50,000
To Share Capital A/c 12,000
5,60,000 5,60,000

BALANCE SHEET OF ...
as at ...
Particulars Note No. `
I. EQUITY AND LIABILITIES
Shareholders’ Funds
Share Capital 1 5,50,000

Note to Accounts
Particulars `
1. Share Capital
Authorised Capital
... Equity Shares of ` 10 each ...
Issued Capital
60,000 Equity Shares of ` 10 each 6,00,000
Subscribed Capital
Subscribed and fully paid-up
50,000 Equity Shares of ` 10 each 5,00,000
Subscribed but not fully paid
6,000 Equity Shares of ` 10 each 60,000
Less: Calls-in-Arrears (6,000 × ` 5) 30,000 30,000
4,000 Equity Shares of ` 10 each; ` 5 Paid-up (Forfeited and Reissued) 20,000
5,50,000
Allotment Money Not Received
Notes: 1. Number of Shares Forfeited =
Allotment Money Per Share
` 1,80,000 - ` 60,000 - ` 1,08,000
= = 4,000 shares.
` 3
2. All the forfeited shares are from category to whom full allotment was made.
3. There is no gain on reissue of forfeited shares.