share capital

His payment @ Rs. 2 will be rejected as company will not accept part payment.

Correctly said by ankur sir..

The basic money called for allotment is Rs. 3... That means, shares will be alloted only when a person pays Rs. 3 first.. So, Rs. 2 are not acceptable by company as a part payment also... Coz on such amount a company neither can allot shares nor it can consider it as a premium amount (without allotment amount)

Best explained By  Dhiraj Sir.

Thanx mahesh... and sweta for the gesture

Originally posted by : D н ! я σ ĵ
	Thanx mahesh... and sweta for the gesture

 Its always been my pleasure Sir

Originally posted by : Mahesh
	Best explained By  Dhiraj Sir.

No doubt about that !!!

Originally posted by : Ankur Garg
	His payment @ Rs. 2 will be rejected as company will not accept part payment.

 Sir, can I know the sec / reg. My knowledge is incomplete without it.

My another ques.: suppose Mr. x applied for 10000shares @ Rs. 2.00 for application money, company allot him 5000shares and adjusted Rs. 10000 towards allotment money. Company called for Rs.6 as Rs.4 for allotment and Rs. 2 for pre. , he doest not pay any amt. BOD decided to forfeit his shares, whether Rs. 10000 will be adjusted towards allotment or premium

My another ques.: suppose Mr. x applied for 10000shares @ Rs. 2.00 for application money, company alloted  him 5000shares and adjusted Rs. 10000 towards allotment money. Company called for Rs.6 as Rs.4 for allotment and Rs. 2 for pre. , he doest not pay any amt. BOD decided to forfeit his shares, whether Rs. 10000 will be adjusted towards allotment or premium

BOD decided to forfeit his shares then Rs.10,000/- neither adjusted in allotment nor in premium . it is forfeit shares income .but the procedure to forfeit amount is very big ,at present  company give him reminder  towards allotment money & if  applicant not responde the same then company  give final letter for forfited of amount.

yes i got your point  this  will be journal entry:

share capital a/c Dr. (5*5000)     25000 

SPA                             (3*5000)     15000

   To forfeiture (10000*2)                      20000

   To share allotment (5000 *4)          20000

yes i got your point  this  will be journal entry:

share capital a/c Dr. (5*5000)     25000 

SPA                             (3*5000)     15000

   To forfeiture (10000*2)                      20000

   To share allotment (5000 *4)          20000

Sorry , the journal entry will be :-

Share Application Money Rs. 10,000/- Dr.

  To  Forfiet share Income                             Rs.10,000/- cr.

no any other entry will be done because when company not received full amount company not allot any share.