Brighton Ltd issues a prospectus inviting the public to subscribe for 10 million ordinary shares of $2.00 each.

The terms of the issue are that $1.00 is to be paid on application and the remaining $1.00 within one month of allotment. Applications are received for 12 million shares during July 2023. The directors allot 10 million shares on 5 August 2023. All applicants receive shares on a pro rata basis. The amounts payable on allotment are due by 5 September 2023.

By 5 September 2023the holders of 2 million shares have failed to pay the amounts due on allotment. The directors forfeit the shares on 10 September 2023. The shares are resold on 15 September 2023 as fully paid. An amount of $1.80 per share is received.

REQUIRE

Provide the journal entries necessary to account for the above transactions and events.