Question

Midee  Ltd. invited applications for issuing 27,000 shares of ₹  100 each payable  as follows:
      ₹  50$—$per share on application;
     ₹  10$—$per share on allotment; and
    Balance$—$on First and Final call.
Applications were received for 40,000 shares. Full allotment was made to the applicants of 7,000 shares. The remaining applicants were allotted 20,000 shares on pro rata basis. Excess money received on applications was adjusted towards allotment and call.
Asha, holding 600 shares was belonged  to the category of applicants to whom full allotment was made ,paid the call money at the time of allotment . Ankur, who belonged to the category of applicants to whom shares were allotted on pro rata basis  did not pay anything after application on his 200 shares . Ankur's shares were forfeited after the First and Final call. These shares were later reissued at  ₹  105 per share as fully paid-up.
Pass necessary journal entries in the books of Midee Ltd . for the above transactions, by opening Calls-in-Arrears and Calls-in-Advance Accounts wherever necessary. 

Answer 1

Journal

Date	Particulars		L.F.	Debit Amount (₹)	Credit Amount (₹)
	Bank A/c (40,000 × 50)	Dr.		20,00,000
	To Equity Share Application A/c				20,00,000
	(Application money received)
	Equity Share Application A/c	Dr.		20,00,000
	To Equity Share Capital A/c(27,000 × 50)				13,50,000
	To Calls in Advance A/c(13,000 × 50)				6,50,000
	(Application money transferred)
	Equity Share Allotment A/c (27,000 × 10)	Dr.		2,70,000
	To Equity Share Capital A/c				2,70,000
	(Allotment money due)
	Bank A/c	Dr.		94,000
	Calls in Advance A/c			2,00,000
	To Equity Share Allotment A/c				2,70,000
	To Calls–in–Advance A/c				24,000
	(Allotment money received)
	Equity Share First Call A/c (27,000 × 40)	Dr.		10,80,000
	To Equity Share Capital A/c				10,80,000
	(Call money due)
	Bank A/c	Dr.		6,26,500
	Calls–in–Advance A/c	Dr.		4,50,000
	Calls–in–Arrears A/c	Dr.		3,500
	To Equity Share First Call A/c				10,80,000
	(Call money received)
	Equity Share Capital A/c	Dr.		20,000
	To Equity Share First Call A/c				3,500
	To Equity Share Forfeiture A/c				16,500
	(200 shares forfeited)
	Bank A/c (200 × 105)	Dr.		21,000
	To Equity Share Capital A/c				20,000
	To Securities Premium A/c				1,000
	(Forfeited shares re–issued at Rs 105 per share)
	Equity Share Forfeiture A/c	Dr.		16,500
	To Capital Reserve A/c				16,500
	(Profit on re–issue transferred)