Company accounts

Hi,

the amount to be creditted to share allotment account  - Rs. 19360

the amount to be creditted to forfieted shares a/c - Rs. 816

Pls correct me if i m wrong...

Girish

1) I think Rs 400 of D's share of 100 shares for allotment also will to be credited to forfeiture a/c. so 19760 - 400 = 19360 will be balance lie in share allotment a/c.

2) How did you arive Rs 980...Mayur

I got 916 by ... (sorry .. my above answer its wrong...if the below rite)

C - 60 shares - 72 shares applied (Prorated 60 X 6/5) X 3 = 216
D - 100 shares  X 7  (Applic  3 + allot 4)              -                   = 700  = 916

Anybody is having the answer pls confirm...

The amount credited to Share Allotment A/c-

 total allotment amount                              5000*4 =        20000

Lesscalls in arrears after Excess application money on 60 share= 240-60=180

less excess application money on 100share  =120-100)*5 =                        100

allotment a/c credited = 20000-280=19720

Share forfeited a/c=60*3+100*7+60(amout received on app )=940, Rs 100 excess application money alredy adjusted with share allotment a/c which is due.

The entry will be

Share Capital a/c-dr  1600

To, calls in arrears a/c- 660

to share forfeited a/c-940

Originally posted by : Maya shankar
	The amount credited to Share Allotment A/c-  total allotment amount                              5000*4 =        20000 Lesscalls in arrears after Excess application money on 60 share= 240-60=180 less excess application money on 100share  =120-100)*5 =                        100 allotment a/c credited = 20000-280=19720 Share forfeited a/c=60*3+100*7+60(amout received on app )=940, Rs 100 excess application money alredy adjusted with share allotment a/c which is due. The entry will be Share Capital a/c-dr  1600 To, calls in arrears a/c- 660 to share forfeited a/c-940

yes agreed

1.AMOUNT CREDITED TO SHARE ALLOTMENT 20000 BALANCE IN ALLOTMENT ACCOUNT 20000-640=19360

2. SHARE FORFEITURE 916

The entry at the time of forfeiture

Share capital -dr 1600

TO share allotment-180(60*4-60)

To share call - 480(60*3+100*3)

Th forfeited a/c-940

totsl calls in arrear 180+480=660

1) Application money recieve

Bank A/c (6,000 x 5)                           Dr. 30,000

   To Share Application A/c (6,000 x 5)                        30,000

2) Appication money transfer 

Share Application A/c (6,000x5)     Dr. 30,000

    To Share Capital A/c (5,000x3)                               15,000

    To Share Premium A/c (5,000x2)                            10,000

    To share Allotment A/c  (1250x4)                              5,000

(Note: Access money allocate toward allotment) 

3) Share Allotment money Due

Share Allotment A/c (5,000x4)    Dr. 20,000

       To Share Capital A/c (5,000x4)                         20,000

4) Share Alloment money recive

Bank A/c                                            Dr. 14,820

Call-in-Arrear A/c (working note)      Dr.      180

        To Share Allotment A/c (3,750x4)                   15,000

Working note:

a) Share Application (60x 6/5) 72 x 5 = 360

b) Share Capital  (transfer)       60 x 5 = 300

c) Excess Money (a-b)                            = 60

d) Share Allotment (60 x 4)                    =240

e) True call in arrear (d-c)                     =180

5) Share Final call money due

Share Final call A/c (5,000 x 3)  Dr. 15,000

         To Share Capital A/c (5,000 x 3)          15,000

6) Share Final call money recieve 

Bank A/c    (4,840x3)                      Dr.  14,520

Call-in-Arrear (160x3)                    Dr.       480

         To Share Final Call A/c (5,000 x 3)          15,000

7) Share Forfeiture

Share Capital A/c (160 x 10)        Dr.  1,600

        To Call-in-Arrear(180+480)                        660

         To Share Forfeiture A/c (Bal.)                    940