Question no 84 Chapter 1- Class 12 Part 2 Unimax

Question no 84 Chapter 1- Class 12 Part 2 Unimax

Mukta Ltd. invited applications for issuing 1,00,000 equity shares of ₹ 10 each. The shares were issued at a premium of ₹ 20 per share. The amount was payable as follows:

On application & allotment	₹ 14 per share (including 10 premium)
On first call	₹ 8 per share (including 5 premium)
On final call	₹ 8 per share (including 5 premium)

Application for 96,000 shares were received. Sunil, a shareholder holding 7,000 shares, failed to pay both the calls and Amit, a holder of 5,000 shares, did not pay the final call. Shares of Sunil and Amit were forfeited. Of he forfeited shares, 8,000 shares, including all the shares of Sunil, were reissued to Maaya at ₹ 8 per share fully paid up.
Pass necessary journal entries for the above transactions in the books of Mukta Ltd.

The solution of Question 84 Chapter 1 of +2 Part-2: –

Journal

Date	Particulars		L.F.	Debit	Credit
	Bank A/c	Dr.		13,44,000
	To Equity share application & allotment A/c				13,44,000
	(Being money received on 96,000 application @ ₹ 14 each including ₹ 10 premium)
	Equity shares application & allotment A/c	Dr.		13,44,000
	To Equity shares capital A/c				3,84,000
	To Securities premium reserve A/c				9,60,000
	(Being application money transferred to capital A/c)
	Equity share 1st call A/c	Dr.		7,68,000
	To Equity shares capital A/c				2,88,000
	To Securities premium reserve A/c				4,80,000
	(Being amount received on allotment except on 7,000 shares)
	Bank A/c	Dr.		7,12,000
	To Equity share 1st call A/c				7,12,000
	(Being amount received on allotment except on 7,000 shares)
	Equity share final call A/c	Dr.		7,68,000
	To Equity shares capital A/c				2,88,000
	To Securities premium reserve A/c				4,80,000
	(Being amount due on first call on 96,000 shares @ ₹ 8 each including ₹ 5 premium)
	Bank A/c	Dr.		6,72,000
	To Equity shares final call A/c				6,72,000
	(Being amount on final call received except 12,000 shares)
	Equity share capital A/c	Dr.		1,20,000
	Equity securities premium reserve A/c	Dr.		95,000
	To Equity forfeited A/c				63,000
	To Equity share first call A/c				56,000
	To Equity share second call A/c				96,000
	(Being 12,000 shares forfeited for non-payment first call and final call)
	Bank A/c	Dr.		64,000
	Share forfeited A/c	Dr.		16,000
	To share capital A/c				80,000
	(Being 8,000 shares reissued @ 8)
	Share forfeited A/c	Dr.		19,000
	To capital reserve A/c				19,000
	(Being forfeited amount transfer to capital reserve)

The solution of Question 84 Chapter 1 of +2 Part-2: –

Journal

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