Commerce Exam > Commerce Questions > 53(A). X Ltd. issued 10,000 shares of 20 each...
Start Learning for Free
53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.?
Most Upvoted Answer
53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on applicati...
Journal Entries for X Ltd.
Issue of shares:
Cash A/c Dr. 2,00,000
To Share Capital A/c 2,00,000
Application Stage:
Bank A/c Dr. 90,000
To Share Application A/c 90,000
Allotment Stage:
Share Application A/c Dr. 1,05,000
To Share Allotment A/c 1,05,000
Rejection Stage:
Share Application A/c Dr. 45,000
To Bank A/c 45,000
Forfeiture Stage:
Share Allotment A/c Dr. 8,000
Share Call A/c Dr. 4,000
To Share Capital A/c 12,000
(Forfeited 400 shares of 20 each fully paid up)
Re-issue Stage:
Bank A/c Dr. 6,000
Share Capital A/c Dr. 8,000
Share Forfeiture A/c Dr. 4,000
To Share Allotment A/c 18,000
(Re-issued 400 shares at 15 each)
Explanation:
Issue of Shares:
• X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call.
• Cash A/c is debited with the amount received from the issue of shares.
• Share Capital A/c is credited with the amount received for the issue of shares.
Application Stage:
• X Ltd. received applications for 18,000 shares.
• Bank A/c is debited with the amount received from the share application.
• Share Application A/c is credited with the amount received from the share application.
Allotment Stage:
• X Ltd. rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants.
• Share Application A/c is debited with the amount transferred from the share application account.
• Share Allotment A/c is credited with the amount received from the share allotment.
Rejection Stage:
• X Ltd. rejected applications for 3,000 shares.
• Share Application A/c is debited with the amount transferred to the bank account.
• Bank A/c is credited with the amount transferred from the share application account.
Forfeiture Stage:
• Gupta who was allotted 400 shares failed to pay allotment and call money.
• His shares were forfeited and Share Allotment A/c and Share Call A/c were debited with the amount of unpaid money.
• Share Capital A/c is credited with the amount of unpaid money.
Re-issue Stage:
• The forfeited shares were re-issued at 15 per share.
• Bank A/c, Share Capital A/c, and Share Forfeiture A/c are debited with the amount received from the re-issue of shares.
• Share Allotment A/c is credited with the amount received from the re-issue of shares.
Issue of shares:
Cash A/c Dr. 2,00,000
To Share Capital A/c 2,00,000
Application Stage:
Bank A/c Dr. 90,000
To Share Application A/c 90,000
Allotment Stage:
Share Application A/c Dr. 1,05,000
To Share Allotment A/c 1,05,000
Rejection Stage:
Share Application A/c Dr. 45,000
To Bank A/c 45,000
Forfeiture Stage:
Share Allotment A/c Dr. 8,000
Share Call A/c Dr. 4,000
To Share Capital A/c 12,000
(Forfeited 400 shares of 20 each fully paid up)
Re-issue Stage:
Bank A/c Dr. 6,000
Share Capital A/c Dr. 8,000
Share Forfeiture A/c Dr. 4,000
To Share Allotment A/c 18,000
(Re-issued 400 shares at 15 each)
Explanation:
Issue of Shares:
• X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call.
• Cash A/c is debited with the amount received from the issue of shares.
• Share Capital A/c is credited with the amount received for the issue of shares.
Application Stage:
• X Ltd. received applications for 18,000 shares.
• Bank A/c is debited with the amount received from the share application.
• Share Application A/c is credited with the amount received from the share application.
Allotment Stage:
• X Ltd. rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants.
• Share Application A/c is debited with the amount transferred from the share application account.
• Share Allotment A/c is credited with the amount received from the share allotment.
Rejection Stage:
• X Ltd. rejected applications for 3,000 shares.
• Share Application A/c is debited with the amount transferred to the bank account.
• Bank A/c is credited with the amount transferred from the share application account.
Forfeiture Stage:
• Gupta who was allotted 400 shares failed to pay allotment and call money.
• His shares were forfeited and Share Allotment A/c and Share Call A/c were debited with the amount of unpaid money.
• Share Capital A/c is credited with the amount of unpaid money.
Re-issue Stage:
• The forfeited shares were re-issued at 15 per share.
• Bank A/c, Share Capital A/c, and Share Forfeiture A/c are debited with the amount received from the re-issue of shares.
• Share Allotment A/c is credited with the amount received from the re-issue of shares.
Attention Commerce Students!
To make sure you are not studying endlessly, EduRev has designed Commerce study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in Commerce.
|
Explore Courses for Commerce exam
|
|
Similar Commerce Doubts
Top Courses for CommerceView all
53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.?
Question Description
53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.?.
53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.?.
Solutions for 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? in English & in Hindi are available as part of our courses for Commerce.
Download more important topics, notes, lectures and mock test series for Commerce Exam by signing up for free.
Here you can find the meaning of 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? defined & explained in the simplest way possible. Besides giving the explanation of
53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.?, a detailed solution for 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? has been provided alongside types of 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? theory, EduRev gives you an
ample number of questions to practice 53(A). X Ltd. issued 10,000 shares of 20 each payable * 5 on application, on allotment and balance on call. It received applications for 18,000 shares so it rejected applications for 3,000 shares and allotment was made on pro-rata basis among the remaining applicants. Gupta who was allotted 400 shares failed to pay allotment and callmoney. His shares were forfeited and re-issued at 15 per share.Pass necessary journal entries to record these transactions.? tests, examples and also practice Commerce tests.
|
|
Explore Courses for Commerce exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup