Advertisements
Advertisements
प्रश्न
Bharat Ltd. was incorporated with a capital of ₹ 2,00,000 divided into shares of ₹ 10 each. 2,000 shares were offered for subscription and out of these, 1,800 shares were applied for and allotted. ₹ 3 per share (including ₹ 1 premium) was payable on application, ₹ 4 per share (including ₹ 1 premium) on allotment, ₹ 2 per share on first call and ₹ 3 per share on final call. All the money was received. Give necessary Journal entries and show share capital in the Balance Sheet.
उत्तर
Authorised Capital 20,000 shares of ₹ 10 each
Issued Capital 2,000 shares
Applied 1,800 shares
|
Payable as: |
|
|
|
|
Application |
₹ |
3 |
(2+1) |
|
Allotment |
₹ |
4 |
(3+1) |
|
First Call |
₹ |
2 |
|
|
Final Call |
₹ |
3 |
|
|
|
|
12 |
(10+2) |
Books of Bharat Limited
Journal
|
Date |
Particulars |
L.F. |
Debit |
Credit |
||
|
|
Bank A/c |
Dr. |
|
5,400 |
|
|
|
|
To Share Application A/c |
|
|
5,400 |
||
|
|
(Application money received for 1,800 shares at Rs 3 per shares) |
|
|
|
||
|
|
|
|
|
|
||
|
|
Share Application A/c |
Dr. |
|
5,400 |
|
|
|
|
To Share Capital A/c |
|
|
3,600 |
||
|
|
To Securities Premium A/c |
|
|
1,800 |
||
|
|
(Application money of 1,800 share transferred to Share Capital at Rs 2 per share and Securities Premium Re 1 per share) |
|
|
|
||
|
|
|
|
|
|
||
|
|
Share Allotment A/c |
Dr. |
|
7,200 |
|
|
|
|
To Share Capital A/c |
|
|
5,400 |
||
|
|
To Securities Premium A/c |
|
|
1,800 |
||
|
|
(Share allotment due on 1,800 shares at Rs 4 per share including Re 1 securities premium) |
|
|
|
||
|
|
|
|
|
|
||
|
|
Bank A/c |
Dr. |
|
7,200 |
|
|
|
|
To Share Allotment A/c |
|
|
7,200 |
||
|
|
(Share Allotment money received) |
|
|
|
||
|
|
|
|
|
|
||
|
|
Share First Call A/c |
Dr. |
|
3,600 |
|
|
|
|
To Share Capital A/c |
|
|
3,600 |
||
|
|
(Share first call due on 1,800 shares at Rs 2 per shares) |
|
|
|
||
|
|
|
|
|
|
||
|
|
Bank A/c |
Dr. |
|
3,600 |
|
|
|
|
To Share First Call A/c |
|
|
3,600 |
||
|
|
(Share first call money received) |
|
|
|
||
|
|
|
|
|
|
||
|
|
Share Final Call A/c |
Dr. |
|
5,400 |
|
|
|
|
To Share Capital A/c |
|
|
5,400 |
||
|
|
(Share final call due on 1,800 shares at Rs 3 per share) |
|
|
|
||
|
|
|
|
|
|
||
|
|
Bank A/c |
|
5,400 |
|
||
|
|
To Share Final Call A/c |
Dr. |
|
|
5,400 |
|
|
|
(Share final call money received) |
|
|
|
||
As per the Schedule III of Companies Act, 2013, the Company's Balance Sheet is presented as follows.
Bharat Limited
An extract of Balance Sheet
|
Particulars |
Note No. |
Amount (₹) |
|
I. Equity and Liabilities |
|
|
|
1. Shareholders’ Funds |
|
|
|
a. Share Capital |
1 |
18,000 |
NOTES TO ACCOUNTS
|
Note No. |
Particulars |
Amount (₹) |
|
1 |
Share Capital |
|
|
|
Authorised Share Capital |
|
|
|
20,000 shares of Rs 10 each |
2,00,000 |
|
|
Issued Share Capital |
|
|
|
2,000 shares of Rs 10 each |
20,000 |
|
|
Subscribed, Called-up and Paid-up Share Capital |
|
|
|
1,800 shares of Rs 10 each |
18,000 |
APPEARS IN
संबंधित प्रश्न
Varun Ltd. issued ₹ 10,00,000 shares of ₹ 100 each at a premium of ₹ 20 for subscription payable as:
₹ 40 per share and ₹ 10 premium on allotment, and
₹ 50 per share and ₹ 10 premium on final payment.
Over-payments on application were to be applied towards amount due on allotment and over-payments on application exceeding amount due on allotment was to be returned. Issue was oversubscribed to the extent of 13,000 shares. Applicants for 12,000 shares were allotted only 1,000 shares and applicants for 2,000 shares were sent letters of regret. All the money due on allotment and final call was duly received.
Pass necessary entries in the company's books to record the above transactions. Also, prepare company's Balance Sheet on completion of the above transactions.
Better Prospect Ltd. acquired land costing ₹ 1,00,000 and in payment allotted 1,000 Equity Shares of ₹ 100 each as fully paid. Further, the company issued 4,000 Equity Shares to public . The shares were payable as: ₹ 30 on application ; ₹ 30 on allotment; ₹ 40 on first and final call.
Applications were received for all shares which were allotted . All the money was received except the call on 200 shares.
Pass journal entries and prepare Balance Sheet of the company.
U.P. Sugar Works Ltd. was registered on 1st January, 2019 with an authorised capital of ₹ 15,00,000 divided into 15,000 shares of ₹ 100 each. The company issued on 1st April, 2019, 5,000 shares of ₹ 100 each at a premium of ₹ 5 per share payable ₹ 25 per share on application , ₹ 30 (including premium) on allotment and the balance in two equal installments of ₹ 25 each on 1st July and 1st October respectively. All the allotments and call moneys were paid when due, except in case of one shareholder who failed to pay the final call on 100 shares held by him. His shares were forfeited on 1st November after giving him a due notice. Show necessary entries in the books of the company to record these transactions.
Black Stone Ltd. issued 10,000 Equity Shares of ₹ 10 each at a premium of ₹ 3 per share payable ₹ 5 on application, ₹ 5 (including premium) on allotment and the balance on first call. All the shares offered were applied for and allotted. All the money due on allotment was received except on 200 shares. Call was made. All the amount due thereon was received except on 300 shares. Directors forfeited 200 shares on which both allotment and call money were not received.
Pass necessary Journal entries to record the above.
New Company Ltd. has a nominal capital of ₹ 2,50,000 in shares of ₹ 10. Of these, 4,000 shares were issued as fully paid in payment of building purchased , 8,000 shares were subscribed by the public and during the first year ₹ 5 per share were called-up, payable ₹ 2 on application , ₹ 1 on allotment, ₹ 1 on first call and ₹ 1 on second call . The amounts received in respect of these shares were:
| On 6,000 shares | Full amount called, |
| On 1,250 shares | ₹ 4 per share, |
| On 500 shares | ₹ 3 per share, |
| On 250 shares | ₹ 2 per share. |
The Directors forfeited the 750 shares on which less than ₹ 4 had been paid . The shares were subsequently reissued at ₹ 3 per share .
Pass journal entries recording the above transactions and prepare the company's Balance Sheet.
VXN Ltd. invited applications for issuing 50,000 equity shares of ₹ 10 each at a premium of ₹ 8 per share . The amount was payable as follows:
| On Application | ------ | ₹ 4 per share (Including ₹ 2 premium); |
| On Allotment | ------ | ₹ 6 per share (Including ₹ 3 premium); |
| On First Call | ----- | ₹ 5 per share (Including ₹ 1 premium); and |
| On Second and Final Call |
----- |
Balance Amount |
The issue was fully subscribed . Gopal, a shareholder holding 200 shares, did not pay the allotment money and Madhav, a holder of 400 shares, paid his entire share money along with the allotment money. Gopal's shares were immediately forfeited after allotment . Afterwards, the first call was made. Krishna, a holder of 100 shares , failed to pay the first call money and Girdhar, a holder of 300 shares, paid the second call money also along with the first call . Krishna's shares were forfeited immediately after the first call. Second and final call was made afterwards and was duly received . All the forfeited shares were reissued at ₹ 9 per share fully paid-up.
Pass necessary journal entries for the above transactions in the books of the company.
Alfa Ltd. invited applications for issuing 75,000 equity shares of ₹ 10 each. The amount was payable as follows:
| On application and allotment | — | ₹ 4 per share , |
| On first Call | — | ₹ 3 per share, |
| On second and final Call | — | balance. |
Applications for 1,00,000 shares were received. Shares were allotted to all the applicants on pro rata basis and excess money received with applications was transferred towards sums due on first call. Vibha who was allotted 750 shares failed to pay the first call . Her shares were immediately forfeited . Afterwards the second call was made. The amount due on second call was also received except on 1,000 shares applied by Monika . Her shares were also forfeited. All the forefited shares were reissued to Mohit for ₹9,000 as fully paid-up.
Pass necessary journal entries in the Books of Alfa Ltd . for the above transactions.
A Ltd. invited applications for issuing 1,00,000 shares of ₹ 10 each at a premium of ₹ 1 per share. The amount was payable as follows:
| On Application | – | 3 per share; |
| On Allotment | – | 3 per share (including premium); |
| On First Call | – | 3 per share; |
| On Second and Final Call | – | Balance amount. |
Applications for 1,60,000 shares were received. Allotment was made on the following basis:
| (i) | To applicants for 90,000 shares | – | 40,000 shares; |
| (ii) | To applicants for 50,000 shares | – | 40,000 shares; |
| (iii) | To applicants for 20,000 shares | – | Full shares. |
Excess money paid on application is to be adjusted against the amount due on allotment and calls.
Rishabh, a shareholder, who applied for 1,500 shares and belonged to category (ii), did not pay allotment, first and second and final call money.
Another shareholder, Sudha, who applied for 1,800 shares and belonged to category (i), did not pay the first and second and final call money.
All the shares of Rishabh and Sudha were forfeited and were subsequently reissued at ₹ 7 per share fully paid.
Pass the necessary Journal entries in the books of A Ltd. Open Calls-in-Arrears Account and Calls-in-Advance Account wherever required.
Nitro Paints Ltd. invited applications for issuing 1,60,000 equity shares of ₹ 10 each at a premium of ₹ 3 per share. The amount was payable as follows:
| On application | --- | ₹ 6 per share(including premium ₹1); |
| On allotment | --- | ₹ 3 per share(including premium ₹ 1); and |
| The balance | --- | on First and Final call. |
Applications for 1,80,000 shares were received .Applications for 10,000 shares were rejected and pro rata allotment was made to the remaining applicants.Over payment received on application was adjusted towards sums due on allotment . All calls were made and were duly received except allotment and final call from Aditya who was allotted 3,200 shares. His shares were forfeited . Half of the forfeited shares were reissued for ₹ 43,000 as fully paid-up .
Pass necessary journal entries for the above transactions in the books of Nitro Paints Ltd.
XYZ Ltd. invited applications for issuing 50,000 Equity Shares of ₹10 each . The amount was payable as:
| On application | --- | ₹ 3 per share, |
| On allotment | --- | ₹ 4 per share, |
| On first and final call | --- | ₹ 3 per share. |
Applications were received for 75,000 shares and pro rata allotment was made as:
Applicants for 40,000 shares were allotted 30,000 shares on pro rata basis.
Applicants for 35,000 shares were allotted 30,000 shares on pro rata basis.
Ramu, to whom 1,200 shares were allotted out of the group applying for 40,000 shares, failed to pay the allotment money. His shares were forfeited immediately after allotment .
Shamu, who had applied for 700 shares out of the group applying for 35,000 shares , failed to pay the first and final call . His shares were also forfeited. Out of the forfeited shares, 1,000 shares were reissued @ Applicants for 40,000 shares were allotted 30,000 shares on pro rata basis. 8 per share as fully paid-up. The reissued shares included all the forfeited shares of Shamu.
Pass necessary Journal entries to record the above transactions.
Super Star Ltd. issued a prospectus inviting applications for 2,000 shares of ₹ 10 each at a premium of ₹ 2 per share , payable as:
| On application | --- | ₹ 3 per share (including ₹ 1 premium), |
| On allotment | --- | ₹ 4 per share (including ₹ 1 premium), |
| On first call | --- | ₹ 3 per share |
| On second and final call | --- | ₹ 2 per share. |
Applications were received for 3,000 shares and pro rata allotment was made on the applications for 2,400 shares . It was decided to utilise excess application money towards the amount due on allotment .
Ramesh, to whom 40 shares were allotted , failed to pay the allotment money and on his subsequent failure to pay the first call, his shares were forfeited.
Rajesh, who applied for 72 shares failed to pay the two calls and on such failure, his shares were forfeited .
Of the shares forfeited, 80 shares were sold to Krishan credited as fully paid-up for ₹ 9 per share, the whole of Ramesh's shares being included.
Give journal entries to record the above transactions ( including cash transactions).
Explain the procedure for issue of shares.
Minimum directors a public company can have compulsorily ________.
Which type of capital will be written after the authorized capital in the balance sheet?
Which is part of authorized capital?
Anish Ltd. issued a prospectus inviting applications for 2,000 shares. Applications were received for 3,000 shares and pro-rata allotment was made to the applicants of 2,400 shares. If Dhruv has been allotted 40 shares, how many shares he must have applied for?
