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Question
Mohini Company Limited issued 25,000 equity shares of ₹ 100 each payable as follows:
On Application ₹ 20
On Allotment ₹ 30
On First call ₹ 20
On Second and Final call ₹ 30
Applications were received for 22,000 equity shares and allotment of shares were made to them.
All money was received by the company.
Pass Journal Entries in the books of Mohini Co. Ltd.
Solution
| Journal Entries in the books of Mohini Company Limited | ||||
| Date | Particulars | L.F | Debit Amount (₹) | Credit Amount (₹) |
| 1 | Bank A/c ...Dr. | 4,40,000 | ||
| To Equity Share Application A/c | 4,40,000 | |||
| (Being equity share application money on 22,000 shares @ ₹ 20 per share received) | ||||
| 2 | Equity Share Application A/c ...Dr. | 4,40,000 | ||
| To Equity Share Capital A/c | 4,40,000 | |||
| (Being equity share application money on 22,000 equity shares @ ₹ 20 per share transferred to Equity Share Capital Account) | ||||
| 3 | Equity Share Allotment A/c ...Dr. | 6,60,000 | ||
| To Equity Share Capital A/c | 6,60,000 | |||
| (Being allotment money on 22,000 equity shares @ ₹ 30 per share due) | ||||
| 4 | Bank A/c ...Dr. | 6,60,000 | ||
| To Equity Share Allotment A/c | 6,60,000 | |||
| (Being equity share allotment money on 22,000 shares @ ₹ 30 per share received) | ||||
| 5 | Equity Share First Call A/c ...Dr. | 4,40,000 | ||
| To Equity Share Capital A/c | 4,40,000 | |||
| (Being equity share first call money on 22,000 shares @ ₹ 20 due) | ||||
| 6 | Bank A/c ...Dr. | 4,40,000 | ||
| To Equity Share First Call A/c | 4,40,000 | |||
| (Being equity share first call money on 22,000 shares @ ₹ 20 per share received) | ||||
| 7 | Equity Share Second and Final Call A/c ...Dr. | 6,60,000 | ||
| To Equity Share Capital A/c | 6,60,000 | |||
| (Being equity share second and final call money on 22,000 shares @ ₹ 30 due) | ||||
| 8 | Bank A/c ...Dr. | 6,60,000 | ||
| To Equity Share Second and Final Call A/c | 6,60,000 | |||
| (Being equity share second and final call money on 22,000 shares @ ₹ 30 per share received) | ||||
| 4400000 | 4400000 | |||
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Scooters India Ltd' is registered with an authorized capital of Rs 50,00,000, divided into 5,00,000 shares of Rs 10 each. The company issued 1, 00,000 shares for subscriptions to the public at par. The amount was payable as follows :
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On 2nd and final call - Rs 5 per share
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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 :
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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:
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(b) Also, prepare 'Notes to Accounts' for the same.
Present the share capital in the Balance Sheet of the company as per the provisions of Schedule III of the Companies Act, 2013. Also, identify any two values that the company wishes to propagate.
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.
State the two situations in which interest on partner's capital is generally provided.
Reena and Raman are partners in a firm sharing profits in the ratio of 4 : 3. They admitted Roma as a new partner. The new profit sharing ratio between Reena, Raman and Roma was 3: 2: 2. Raman surrendered `1/3rd `of his share in favour of Roma. Calculate Reena's sacrifice.
Y Ltd. invited applications for issuing 2000, 9% debentures of Rs 100 each at a discount of 10%. The whole amount was payable at the time of application. Applications for 2400 debentures were received and pro-rata allotment was made to all the applicants.
Pass necessary journal entries for the issue of debentures.
Following is the Balance Sheet of J.M. Ltd. as at 31.3.2016:
|
J.M. Ltd. Balance Sheet as at 31.3.2016 |
|||
|
Particulars |
NoteNo. |
31.03.2016 (Rs) |
31.03.2015 (Rs) |
|
I. Equity and Liabilities : (1) Shareholder's Funds: |
|||
|
(a) Share Capital |
2,25,000 |
1,75,000 |
|
|
(b) Reserves and Surplus |
1 |
62,500 |
25,000 |
|
(2) Non-current Liabilities: |
|||
|
Long-Term Borrowings |
2 |
1,12,500 |
87,500 |
|
(3) Current Liabilities: |
|||
|
(a) Short-term Borrowings |
3 |
37,500 |
18,750 |
|
(b) Short-term Provisions |
4 |
50,000 |
31,250 |
|
Total |
4,87,500 |
3,37,500 |
|
|
II. Assets: |
|||
|
(1) Non-current Assets: |
|||
|
(a) Fixed Assets: |
|||
|
(i) Tangible |
5 |
3,66,250 |
2,28,750 |
|
(ii) Intangible |
6 |
25,000 |
37,500 |
|
(b) Non-current Investments |
37,500 |
25,000 |
|
|
(2) Current Assets: |
|||
|
(a) Current Investments |
|
10,000 |
17,500 |
|
(b) Inventories |
7 |
30,500 |
18,000 |
|
(c) Cash and Cash Equivalents |
18,250 |
10,750 |
|
|
Total |
4,87,500 |
3,37,500 |
|
Notes to Accounts :
|
Note No. |
Particulars |
31.03.2016 (Rs) |
31.03.2015 (Rs) |
|
(1) |
Reserves and Surplus |
|
|
|
|
(Surplus i.e. Balance in the Statement of Profit and Loss) |
62,500 | 25,000 |
|
|
|
62,500 | 25,000 |
|
|
|
|
|
|
(2) |
Long-term Borrowings |
|
|
|
|
12% Debentures |
1,12,500 |
87,500 |
|
|
|
1,12,500 |
87,500 |
|
|
|
|
|
|
(3) |
Short-term Borrowings |
|
|
|
|
Bank overdraft |
37,500 | 18,750 |
|
|
|
37,500 | 18,750 |
|
|
|
|
|
|
(4) |
Short-term Provisions |
|
|
|
|
Proposed Dividend |
50,000 | 31,250 |
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|
50,000 | 31,250 |
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|
|
|
|
(5) |
Tangible Assets |
|
|
|
|
Machinery |
4,18,750 | 2,63,750 |
|
|
Accumulated Depreciation |
(52,500) | (35,000) |
|
|
|
3,66,250 | 2,28,750 |
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|
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|
|
|
(6) |
Intangible Assets |
|
|
|
|
Goodwill |
25,000 | 37,500 |
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|
|
25,000 |
37,500 |
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|
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(7) |
Inventories |
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|
|
|
Stock in Trade |
30,500 | 18,000 |
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|
|
30,500 | 18,000 |
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|
|
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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.
Amount called-up on shares by the company but not received.
Give one word/term/phrase for the following statement.
The part of subscribed capital which is not called-up by the company.
State true or false with reason.
Sweat shares are issued to public.
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 shares are forfeited Shares Capital Account is credited.
State whether you agree or disagree with following statement:
Public limited company can issue its share without issuing its prospectus.
Answer in one sentence only.
What is Registered Capital?
Answer in one sentence only.
What is Over subscription of shares?
Answer in one sentence only.
Which account is debited when share first call money is received?
Answer in one sentence only.
When are shares allotted on pro-rata basis?
__________ form of business organisation in which Capital is raised through the issue of shares.
___________ Capital is the part of issued capital which is subscribed by the public.
The part of Authorised Capital which is not issued to the public is known as ___________ Capital.
10000 equity shares of ₹ 10 each issued at 10% premium. Calculate the total amount of share premium.
80000 Equity shares of ₹ 10 each issued and fully subscribed and called up at 20% premium. Calculate the amount of Equity share Capital.
Directors issued 20000 equity shares of ₹ 100 each at par. These were fully subscribed and called up. All money were received except one shareholder holding 100 equity shares failed to pay final call of ₹ 20 per share. Calculate the amount of paid-up capital of the company
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On Second & Final call ₹ 30
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| On Application | ₹ 30 |
| On Allotment | ₹ 40 |
| On First & Final Call | ₹ 30 |
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Pass Journal Entries in the Books of Reliance Company Limited.
Pass necessary journal entries in the books of Z Ltd. for the following transaction:
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