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10000 equity shares of ₹ 10 each issued at 10% premium. Calculate the total amount of share premium. - Book Keeping and Accountancy

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प्रश्न

10000 equity shares of ₹ 10 each issued at 10% premium. Calculate the total amount of share premium.

बेरीज

उत्तर

Equity shares = 10,000

Face value = ₹ 10 per share

Premium @ 10 %

The total amount of share premium = 10,000 × 10 ×`10/100`

= ₹ 10,000

Hence, the total amount of 10,000 share premium = ₹ 10,000

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Accounting for Share Capital
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पाठ 8: Company Accounts - Issue of Shares - Exercise 8.1 (Objective Questions) [पृष्ठ ३४०]

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बालभारती Book Keeping and Accountancy [English] 12 Standard HSC Maharashtra State Board
पाठ 8 Company Accounts - Issue of Shares
Exercise 8.1 (Objective Questions) | Q 1. (G) 2. | पृष्ठ ३४०

संबंधित प्रश्‍न

On 1st April, 2012; Vivek Ltd. Was formed with an authorized capital of Rs.1,00,00,000 divided into 2,00,000 equity shares of Rs.50 each. The company issued prospectus inviting applications for 1,80,000 shares. The issue price was payable as under:

On Application: Rs.15

On Allotment: Rs.20

On Call: Balance amount

The issue was fully subscribed and the company allotted shares to all the applicants. The company did not make the call during the year.

Show the following:

a. Share capital in the Balance Sheet of the company as per revised Schedule-VI, Part-I of the Companies Act, 1956.

b. Also prepare 'Notes to Accounts' for the same.


'Sangam Woolens Ltd.', Ludhiana, are the manufacturers and exporters of woollen garments. The company decided to distribute free of cost woollen garments to 10 villages of Lahaul and Spiti District of Himachal Pradesh. The company also decided to employ 50 young persons from this village in its newly established factory. The company issued 40,000 equity shares of Rs 10 each and 1,000 9% debentures of Rs 100 each to the vendors for the purchase of machinery of Rs 5,00,000. Pass necessary Journal Entries. Also, identify anyone value that the company wants to communicate to the society.


'India Auto Ltd.' is registered with an authorised capital of Rs 7,00,00,000 divided into 7,00,000 shares Rs 100 each. The company issued 50,000 shares to the vendor for building purchased and 2,00,000 shares were issued to the public. The amount was payable as follows :

On application and allotment — Rs 20 per share
On the first call — Rs 50 per share
On second and final call — The balance

All calls were made and were duly received except on 100 shares held by Rajani, who failed to pay the second and final call. Her shares were forfeited.
Present the 'Share Capital' in the Balance Sheet of the company as per Schedule VI Part I of the
Companies Act, 1956. Also, prepare 'Notes to Accounts'.


'David Ltd.' issued `40, 00,000 equity shares of Rs 10 each out of its registered capital of Rs 10,00,00,000. The amount payable on these shares was as follows :

On application - Rs 1 per share
On allotment - Rs 2 per share
On the first call - Rs 3 per share
On second and final call - Rs 4 per share

All calls were made and were duly received, except the second and final call on 1,000 shares held by Vipul. These shares were forfeited.
Present the 'Share Capital' in the Balance Sheet of the company as per Schedule VI Part I of the Companies Act, 1956. Also, prepare 'Notes to Accounts'.


Deepak, Farukh and Lilly were partners in a firm sharing profits in the ratio of 3:2:1. On 28.2.2015 Farukh retired from the firm. On Farukh's retirement, there was a balance of `12,000 in Workmen's Compensation Reserve which was no more required. On Farukh's retirement this amount will be :

(a) Debited to the Capital accounts of all the partners in their profit sharing ratio.
(b) Credited to the Capital accounts of all the partners in their profit sharing ratio.
(c) Credited to the Capital accounts of Deepak and Lilly in their profit sharing ratio.
(d) Credited to the Capital account of Farukh.


On 1st April 2012, Mayank Ltd. was formed with an authorised capital of  Rs 25,00,000 divided into 50,000 equity shares of Rs 50 each. The company issued a prospectus inviting applications for 45,000 shares. The issue price was payable as under :

On Application: Rs 15
On Allotment: Rs 20
On Call: Balance amount

The issue was fully subscribed and the company allotted shares to all the applicants. The company did not make the call during the year. Show the following:

(a) Share capital in the Balance Sheet of the company as per revised Schedule-VI, Part-I of the Companies Act, 1956.
(b) Also, prepare 'Notes to Accounts' for the same.


Y Ltd. forteited 100 equity shares of Rs 10 each for the non-payment of first call of Rs 2 per share. The final call of Rs 2 per share was yet to be made.
 

Calculate the maximum amount of discount at which these shares can be re-issued

Z Ltd. forfeited 1000 equity shares of Rs 10 each for the non-payment of the final call of Rs 2 per share. Calculate the maximum amount of discount at which these shares can be reissued.


Share forfeited balance is transferred to Capital Reserve Account.


Select the most appropriate answer from the alternatives given below and rewrite the sentence :
As per section 69 (3) of the Companies Act, 1956, the minimum amount payable on share application should be______________ percent.


Premium received on issue of shares is shown to __________.


The liability of shareholder in Joint Stock Company is _________.


The Share Capital which a company is authorised to issue by its Memorandum of Association is __________.


The unpaid amount on allotment and calls may be transferred to _____________ account.


Give one word/term/phrase for the following statement.

Issue of share at its face value


Give one word/term/phrase for the following statement.

The form of business organisation where huge amount of capital can be raised.


Give one word/term/phrase for the following statement.

The capital which is subscribed by the public.


State true or false with reason.

Face value of shares and market value of shares is always same.


State whether you agree or disagree with following statement:

The Authorised capital is also known as Nominal Capital.


State whether you agree or disagree with following statement:

When the issued price of share is ₹ 12 and face value is ₹ 10, the share is said to be issued at premium.


Answer in one sentence only.

What is Over subscription of shares?


Answer in one sentence only.

When are shares allotted on pro-rata basis?


Answer in one sentence only.

What is Calls-in-Arrears?


When face value of the share is ₹ 100 and issued price is ₹ 120, then it is said that the shares are issued at _________.


___________ Capital is the part of issued capital which is subscribed by the public.


Vijay Ltd. was registered with an authorised capital of ₹ 15,00,000 divided into 1,50,000 equity shares of ₹ 10 each.

Company issued 1,00,000 equity shares of ₹ 10 each at a premium of ₹ 2 per share.

Company received applications for 80,000 equity shares and were allotted the shares.

Company received application money ₹ 3 per share, allotment money ₹ 4 per share (Including premium), and first call money ₹ 3 per share.

The Directors have not made final call of ₹ 2 per share. All money were received except one shareholder holding 500 shares did not pay first call.

Show Authorised Capital, Issued Capital, Subscribed Capital, Called-up Capital, Paid-up Capital, Calls in Arrears, and Share Premium amount in company balance sheet.


Anand Company Limited issued 1,00,000 Preference shares of ? 10 each payable as - On

On Application ₹ 4

On Allotment ₹ 3

On First call ₹ 2

On Second and Final call ₹ 1

Company received application for all these share and received all money.

Pass Journal Entries in the books of Anand Company Ltd.


Sucheta Company Limited issued ₹ 20,00,000 new capital divided into ₹ 100 equity shares at a Premium of  ₹ 20 per share payable as ₹ 10 on Application ₹ 40 on Allotment and ₹ 10 premium ₹ 50 on Final call and ₹ 10 premium.

The issue was oversubscribed to the extent of 26000 equity shares. The applicants on 2000 shares were sent letter of regret and their application money was refunded. Remaining applicants were alloted share on pro-rata basis. All the money due on Allotment and Final call was duly received.

Make necessary Journal entries in the books of Sucheta Company Ltd.


In which of the following situation Companies Act 2013 allows for issue of shares at discount?


As per Section 52 of Companies Act 2013, Securities Premium Reserve cannot be utilised for ______.


Net Assets minus Capital Reserve is ______.


Radhey Ltd. took over assets of ₹ 14,00,000 and liabilities of ₹ 6,00,000 of Krishna Ltd. Radhey Ltd. paid the purchase consideration by issuing 10,000, 8% Debentures of 100 each at a premium of 10%.

Pass necessary journal entries in the books of Radhey Ltd.


Pass necessary journal entries in the books of Z Ltd. for the following transaction:

The company has a balance of ₹ 60,000 in securities premium reserve account. Loss on issue of debentures ₹ 1,00,000 was written off as per the provisions of the Companies Act. 2013.


Ganesh draws a bill for ₹ 40,000 on 15th January, 2020 for 2 months. He discounted the bill with Bank of India @ 15% p.a. on the same day. Calculate the amount of discount.


Sameer and Company Limited invited applications for 25,000 Equity shares of ₹ 100 each payable as:

₹ 25 on application

₹ 50 on allotment

₹ 25 on first and final call

Applications were received for 30,000 Equity shares and pro-rata allotment were made to all. All the money was duly received except first and final call on 2,500 Equity shares. Enter the above transactions in the books of Sameer and Company Limited.


Mukund Ltd. invited applications for issuing 50,000 equity shares of ₹ 10 each at 10% premium. The amount per share was payable as follows: ₹ 3 on application, ₹ 3 (including premium) on allotment and balance amount on first and final call. Applications were received for 1,20,000 shares and shares were allotted on pro-rata basis to all the applicants. The excess money received on application was adjusted towards sums due on allotment only. Application money in excess to sums due on allotment was refunded. A shareholder who had applied for 6,000 shares, could not pay the call money and his shares were forfeited.

Pass necessary Journal entries for the above transactions in the books of Mukund Ltd.


Which of the following statements is true?


Vani Limited invited applications for issuing 1,00,000 equity shares of ₹ 10 each at a premium of 10%. The amounts were payable as under: On Application and Allotment - ₹ 4 per share (including premium ₹ 1)

On first call -₹ 4 per share

On second and final call - ₹ 3 per share

Applications for1,50,000 shares were received and pro-rata allotment was made to all the applicants. Excess application money was adjusted towards sums due on calls. Parth, a shareholder who had applied for 600 shares did not pay the first call. His shares were forfeited. The second and final call was not yet made. Half of the forfeited shares were reissued at ₹ 8 per share fully paid-up.

Journalise the above transactions in the books of Vani Limited by opening calls in arrears and calls in advance account wherever necessary.


Unnati Ltd. was registered with an authorised capital of ₹ 80,00,000 divided into equity shares of ₹ 10 each. The company issued a prospectus inviting applications for 60,000 equity shares. The company received applications for 58,000 equity shares. All calls were made and were duly received except the second and final call of  ₹ 3 per share on 3,000 shares held by Manit. These shares were forfeited. 

  1. Present the share capital in the Balance Sheet of the company as per Schedule III, Part I of the Companies Act, 2013.
  2. Also prepare "Notes to Accounts" for the same.

The Directors of Rockstar Ltd. invited applications for 2,00,000 Shares of ₹ 10 each, issued at 20% premium. Share was payable as ₹ 5 on application, ₹ 4 (including premium) on allotment and balance on call. Public had applied for 3,20,000 shares out of which applications for 20,000 shares were rejected and remaining were alloted on pro-rata basis.

Simba, an applicant of 15,000 shares failed to pay allotment and call money. His shares were forfeited and out of these 6,000 shares were reissued at a discount of ₹ 2 per share. Journalise.


Akasha Company Limited issued 25,000 equity shares of ~ 10 each payable as follows:

On Application ₹ 2
On Allotment ₹ 2
On First call ₹ 3
On Final call ₹ 3

Applications were received for 24,000 equity shares and allotment of shares were made to them. All money was received by the company.
Pass Journal Entries in the books of Akasha Company Limited.


Subscription received in current year is ₹ 1,20,000. Current year's outstanding subscription is ₹ 20,000 and subscription received in advance is ₹ 10,000. Find out net subscription amount of current year


Amar Ltd. issued 1000 equity shares of ₹ 100 each at par payable ₹ 30 on Application, ₹ 40 on Allotment and ₹ 30 on First and Final call. The company received applications for 1,200 shares. The Board of Directors rejected 200 applications and application money was refunded. All the money was duly received. Show journal entries in the books of Amar Ltd.


Ananya Limited invited applications for 50,000 equity shares of ₹ 10 each payable as ₹ 2.50 on Application ₹ 5 on Allotment ₹ 2.50 on Final call.
Applications were received for 60,000 equity shares and pro-rata allotment were made to all. All the money was duly received except Final call on 5,000 equity shares.
Pass journal entries in the books of Ananya Limited and show it in the Balance sheet.


Aniket Company Limited issued ₹ 40,00,000 new capital divided into ₹ 100 per equity share at a premium of ₹ 20 per share payable as ₹ 10 on Application, on Allotment ₹ 40 and ₹ 10 premium and on Final call ₹ 50 and ₹ 10 premium. The issue was over-subscribed to the extent of 50,000 equity shares. The applicants on 5,000 shares were sent letter of regret and their application money was refunded. Remaining applicants were allotted shares on pro-rata basis. All the money due on Allotment and Final call was only received. Make necessary journal entries in the books of Aniket Company Limited.


The liability of shareholder of public limited company is ______.


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