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(4,000 shares - 2,400 shares) x 2.50 = 24,000 (B) Amount due on allotment on these shares =2,400 shares x 2.50 Less: Excess received on
(4,000 shares - 2,400 shares) x 2.50 = 24,000 (B) Amount due on allotment on these shares =2,400 shares x 2.50 Less: Excess received on application from these shares Amount not received on allotment = 6,000 = 34,000 = 2,000 (C) Amount received on allotment: Total amount due on allotment 1,00,000 shares x 2.50 Less : Excess amount received on applications 35,000 Shares x 2.50 Balance Due Less : Amount not received on allotment Net Amount received on allotment in Cash 2,50,000 87,500 1,62,500 2,000 = 1,60,500 (2) Since only 1,800 shares have been re-issued, therefore the profit on 1,800 shares will be transferred to Capital Reserve. Profit on 2,400 shares = 10,000 Profit on 1,800 shares = R10,000 + 2,400) x 1,800 = 37,500 Less : Loss on re-issue of 1,800 shares @ 1 per share = 1,800 Amount transferred to Capital Reserve = 25,700 Q. 59. 'Amrit Dhara Ltd. invited applications for issuing 80,000 equity shares of 10 each. The amount was payable as follows: On Application and Allotment 2 per share. On first call 34 per share. q47 On second and final call the balance. Applications for 1,00,000 shares were received. Shares were allotted on pro-rata basis to all the applicants. Excess money received with applications was adjusted towards sums due on first call. Manohar who had applied for 2,000 shares failed to pay the first call and his shares were immediately forfeited. Afterwards second and final call was made. Mohan who was allotted 2,400 shares failed to pay the second and final call. His shares were also forfeited. All the forfeited shares were re-issued at 39 per share as fully paid up. Pass necessary Journal Entries in the books of the company for the above transactions. (CBSE 2015, Set II)
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