Wolfgang issue shares via installment.

On 1st June they issue a prospectus to potential investors advertising that they will sell 1,000,000 shares at $1 each. Payable $0.60 on application, $0.30 on allotment, and $0.10 on call.

By 15th September, the applications are all received, and 1,600,000 share applications were received. On 30th September, Wolfgang decide to apply excess applications to allotment.

What journal entry should be entered on 15th September?

		Dr Cash Trust $500,000 Cr Application $500,000
		Dr Cash Trust $960,000 Cr Application $960,000
		Dr Cash Trust $1,000,000 Cr Application $1,000,000
		Dr Cash Trust $960,000 Cr Application $960,000 Dr Application $250,000 Cr Cash Trust $250,000