Please solve this company a/c question

IPCC 757 views 4 replies

Harish Kumar

IPCC

475 Points Joined June 2012

Q.1) The director of a company have forfeited 500 shares of Rs. 20 each Rs. 15 per share called up,

on which Rs. 10 per share has been paid by B.

They re-issue the share to D as Rs. 15 paid up at Rs. 8 per share

& make a further call of Rs. 5 per share & this is paid by D.

Pass Journal entry

Please Solve This Question....... Thank You

Replies (4)

CA Lokesh Pokharna

CA (Ahmedabad Bhilwara Chittorgarh)

4128 Points Joined November 2009

your query is not much clear.. please redraft..

MD. RAFI

Manager Accounts (future CA)

670 Points Joined June 2010

Date	Journal Entries	Debit	Credit
1	Equity Share Capital a/c Dr. 500*15	7500
	To Equity Share Calls a/c 500*5		2500
	To Forfeited Shares a/c 500*10		5000
	(Being Forfetiure of 500 shares for non payment of calls at Rs. 5 per share as per BR No. …………. Dt. …………..)

2	Bank a/c Dr. 500*8	4000
	Forfeited Shares a/c Dr. 500*7	3500
	To Equity Share Capital a/c		7500
	(Being re-issue of 500 Forfetied shares at Rs. 8 per share as 15 paidup BR No. …………. Dt. …………..)

3	Forfeited Shares a/c Dr. 500*3	1500
	To Capital Reserve (5000-3500)		1500
	(Being Profit on re-issue of 500 shares transferred to Capital Reserve BR No. …………. Dt. …………..)

4	Equity Share final call Dr. 500*5	2500
	To Equity Share capital a/c		2500
	(Being final call due)
5	Bank a/c Dr.
	To Equity Share final call Dr. 500*5 (Being Final call money received)	2500	2500

Please corect me if I am wrong.

Harish Kumar

IPCC

475 Points Joined June 2012

Originally posted by : MD. RAFI
	Date Journal Entries Debit Credit 1 Equity Share Capital a/c Dr. 50015 7500 To Equity Share Calls a/c 5005 2500 To Forfeited Shares a/c 50010 5000 (Being Forfetiure of 500 shares for non payment of calls at Rs. 5 per share as per BR No. …………. Dt. …………..) 2 Bank a/c Dr. 5008 4000 Forfeited Shares a/c Dr. 5007 3500 To Equity Share Capital a/c 7500 (Being re-issue of 500 Forfetied shares at Rs. 8 per share as 15 paidup BR No. …………. Dt. …………..) 3 Forfeited Shares a/c Dr. 5003 1500 To Capital Reserve (5000-3500) 1500 (Being Profit on re-issue of 500 shares transferred to Capital Reserve BR No. …………. Dt. …………..) Please corect me if I am wrong.