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Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.?
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Grand Legacy Ltd. invited applications for issue of 70,000 equity shar...
Journal Entries in the Books of Grand Legacy Ltd.
To record the transactions related to the issue of equity shares, the following journal entries are made:
1. Application Money Received
- Bank A/c Dr. 4,00,000
To Equity Share Application A/c 4,00,000
(Being application money received for 1,00,000 shares at ₹4 each)
2. Rejection of Applications
- Equity Share Application A/c Dr. 40,000
To Bank A/c 40,000
(Being application money refunded for 10,000 shares rejected)
3. Allotment of Shares
- Equity Share Allotment A/c Dr. 2,10,000
To Equity Share Capital A/c 7,00,000
To Securities Premium A/c 1,40,000
(Being allotment money due on 70,000 shares: ₹3 each)
4. Excess Application Money Adjusted
- Equity Share Application A/c Dr. 1,00,000
To Equity Share Allotment A/c 1,00,000
(Being excess application money adjusted against allotment)
5. First and Final Call Money Due
- Equity Share First and Final Call A/c Dr. 1,70,000
To Equity Share Capital A/c 1,70,000
(Being first and final call of ₹2.5 per share on 68,240 shares)
6. Call Money Received
- Bank A/c Dr. 1,68,000
To Equity Share First and Final Call A/c 1,68,000
(Being call money received except on 760 shares)
7. Forfeiture of Shares
- Equity Share Capital A/c Dr. 1,900
To Equity Share First and Final Call A/c 1,900
(Being amount forfeited on 760 shares)
8. Reissue of Forfeited Shares
- Bank A/c Dr. 7,700
To Equity Share Capital A/c 7,600
To Securities Premium A/c 100
(Being forfeited shares reissued at ₹10 each fully paid up)
These journal entries comprehensively capture the financial transactions related to the equity share issue, ensuring that all aspects of share application, allotment, calls, forfeiture, and reissue are properly accounted for.
To record the transactions related to the issue of equity shares, the following journal entries are made:
1. Application Money Received
- Bank A/c Dr. 4,00,000
To Equity Share Application A/c 4,00,000
(Being application money received for 1,00,000 shares at ₹4 each)
2. Rejection of Applications
- Equity Share Application A/c Dr. 40,000
To Bank A/c 40,000
(Being application money refunded for 10,000 shares rejected)
3. Allotment of Shares
- Equity Share Allotment A/c Dr. 2,10,000
To Equity Share Capital A/c 7,00,000
To Securities Premium A/c 1,40,000
(Being allotment money due on 70,000 shares: ₹3 each)
4. Excess Application Money Adjusted
- Equity Share Application A/c Dr. 1,00,000
To Equity Share Allotment A/c 1,00,000
(Being excess application money adjusted against allotment)
5. First and Final Call Money Due
- Equity Share First and Final Call A/c Dr. 1,70,000
To Equity Share Capital A/c 1,70,000
(Being first and final call of ₹2.5 per share on 68,240 shares)
6. Call Money Received
- Bank A/c Dr. 1,68,000
To Equity Share First and Final Call A/c 1,68,000
(Being call money received except on 760 shares)
7. Forfeiture of Shares
- Equity Share Capital A/c Dr. 1,900
To Equity Share First and Final Call A/c 1,900
(Being amount forfeited on 760 shares)
8. Reissue of Forfeited Shares
- Bank A/c Dr. 7,700
To Equity Share Capital A/c 7,600
To Securities Premium A/c 100
(Being forfeited shares reissued at ₹10 each fully paid up)
These journal entries comprehensively capture the financial transactions related to the equity share issue, ensuring that all aspects of share application, allotment, calls, forfeiture, and reissue are properly accounted for.
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Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.?
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Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.?.
Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.?.
Solutions for Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? in English & in Hindi are available as part of our courses for UPSC.
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Here you can find the meaning of Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? defined & explained in the simplest way possible. Besides giving the explanation of
Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.?, a detailed solution for Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? has been provided alongside types of Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? theory, EduRev gives you an
ample number of questions to practice Grand Legacy Ltd. invited applications for issue of 70,000 equity shares of 10 each at a premium of 2 per share. The amount was payable as follows: On application 4 per share (including prèmium) On Allotment ₹ 3 per share On first and final call Balance. Applications for 1,00,000 shares were received. Applications for 10,000 shares were rejected, shares were allotted to the remaining applicants on prorata basis. Excess application money was adjusted on allotment. All calls were made and received except first and final call on 760 shares. These were forfeited and reissued for * 7700 fully paid up. Give Journal Entries in the Books of Company.? tests, examples and also practice UPSC tests.
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