Question

(Under Subscription)
Usha Co. Ltd. issued Rs 12,000 Equity shares of Rs 100 each payable as under-

Rs 30	on application	Rs 20	on allotment
Rs 35	on first call	Rs 15	on second call

Public applied for Rs 10,000 shares and all the applicants were accepted by the company. Allotment of the shares were made. All the money on allotment, first call and second call were received.
Show the journal of the Company.

Answer 1

Books of Usha Co. Ltd
Journal Entry

Date	Particulars	L.F.	Debit Amount (Rs.)	Credit Amount (Rs.)
	Bank A/c                                      Dr.   To Equity Share Application A/c (Share application received on 10,000 shares of Rs.30 each)		300,000	300,000
	Equity Share Application A/c       Dr.    To Equity Share Capital A/c (Share application transferred to Share Capital)		300,000	300,000
	Equity Share Allotment A/c         Dr.   To Equity Share Capital A/c (Share allotment due on 10,000 shares of Rs 20 each)		200,000	200,000
	Bank A/c                                      Dr.   To Equity Share Allotment A/c (Share allotment received)		200,000	200,000
	Equity Share First Call A/c           Dr.    To Equity Share Capital A/c (Share first call due on 10,000 shares of Rs 35 each)		350,000	350,000
	Bank A/c                                      Dr.   To Equity Share First Call A/c (Share first call received)		350,000	350,000
	Equity Share Final Call A/c           Dr.     To Equity Share Capital A/c (Share final call due on 10,000 shares of Rs 15 each)		150,000	150,000
	Bank A/c                                      Dr.    To Equity Share Final Call A/c (Share final call received)		150,000	150,000

Note: Company will call money on 10,000 shares only because public subscribed for 10,000 shares.