Page 65 - DCOM201_ACCOUNTING_FOR_COMPANIES_I

Accounting for Companies-I

Notes Solution
Anuj Cloth Mills Limited Journal
Date Particulars L.F. Dr. ( ) Cr. ( )
Bank Account Dr. 13,50,000
To Share Application Account 13,50,000
(Application money received on 45,000 share @
30 each)
Share Application Account Dr. 13,50,000
To Share Capital Account 13,50,000
(Application money transferred to share capital
account)
Share Allotment Account Dr. 9,00,000
Discount on Issue of Shares Account Dr. 2,25,000
To Share Capital Account 11,25,000
(Allotment money due on 45,000 shares @ 20
each and discount allowed at 5 each)

Bank Account Dr. 9,00,000
To Share Allotment Account 9,00,000
(Allotment money received on 45,000 shares)

Share First and Final Call Account Dr. 20,25,000
To Share Capital Account 20,25,000
(Being first and final call money due on 45,000
shares @ 45 each)
Bank Account Dr. 20,02,500
To Share First and Final Call Account 20,02,500
(Being first and final call money received on
44,500 shares)
Share Capital Account Dr. 50,000
To First and Final Call Account 22,500
To Discount on Issue of Shares Account 2,500
To Forfeited Shares Account 25,000
(Being forfeiture of 500 shares for non-payment
of first and final call money)
Bank Account Dr. 22,500
Discount on Issue of Shares Account Dr. 1,250
Forfeited Shares Account Dr. 1,250
To Shares Capital Account 25,000
(Being 250 forfeited shares reissued at 90 each
as fully paid)

Forfeited Shares Account Dr. 11,250
To Capital Reserve Account 11,250
(Profit on reissue of 250 shares transferred to
capital reserve)

Working Note:

Total amount forfeited on 250 shares = 25050 = 12,500

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