Shift Ltd has a nominal share capital of £400,000 comprising 400,000 ordinary shares of

£1 each. The whole of the capital was issued at par on the following terms:

Applications were received for 600,000 shares and it was decided to allot the shares on the basis of two for every three for which applications had been made. The balance of application monies was __ applied to the allotment, no cash being refunded. The balance of allotment monies was paid by the members.
The calls were made and paid in full by the members, with the exception of one who failed to pay the first and second calls on the 2,000 shares allotted to him. A resolution was passed by the directors to forfeit the shares. The forfeited shares were later issued to N Butt at 90p each.
Show the ledger accounts recording all the above transactions, and the relevant extracts from a balance sheet after all the transactions had been completed.

Transcribed Image Text:

Payable on application Payable on allotment First call Second call Per share 20p 25p 30p 25p