Q 32 DK Goel Issue of Shares Solutions Class 12 CBSE (2024-25)

Solutions of Question number 32 of Accounting for Companies Issue of shares chapter 6 of DK Goel Class 12 CBSE (2024-25)

W Ltd. issued 10,000 shares of ₹ 100 each. During the year only ₹ 80 were called payable as follows:

On Application ₹ 25;
On Allotment ₹ 20;
On 1st Call ₹ 20
On 2nd Call ₹ 15;

Amounts were received as follows:

On 8,000 shares the full amount called
On 1,200 shares ₹ 65 per share
On 500 shares ₹ 45 per share
On 300 shares ₹ 25 per share

The directors forfeited those shares on which less than ₹ 65 per share were received. Show entries in the Cash Book and Journal and show the share Capital in the Balance Sheet.

[Ans. Cash at Bank ₹ 7,48,000; Amount received on Allotment ₹ 1,94,000; On First Call ₹ 1,84,000 and on Second Call ₹ 1,20,000; Balance of Share Forfeiture Account ₹ 30,000; Calls in arrears ₹ 18,000.]

Solution:-