Question -
Answer -
| Books of Ashoka Limited Journal |
| Date | Particulars | L.F. | Debit Amount (₹) | Credit Amount (₹) |
| | Share Capital A/c | Dr. | | 20,000 | |
| | To Final Call A/c | | | 2,000 |
| | To Share Forfeiture A/c | | | 18,000 |
| (1,000 Shares of 20 per share forfeited for nonpayment of Share Final Call money @ ₹2 per share) | | | |
| | | | |
| Bank A/c (400×14) | Dr. | | 5,600 | |
| Share Forfeiture A/c (400×6) | Dr. | | 2,400 | |
| | To Share Capital A/c | | | | 8,000 |
| (400 shares @ ₹20 per share reissued for ₹14 per share fully paid-up) | | | |
| | | | |
| Bank A/c | Dr. | | 4,000 | |
| | To Share Capital A/c | | | | 4,000 |
| (200 shares @ ₹20 per share reissued for ₹20 per share fully paid-up) | | | | |
| | | | |
| Share Forfeiture A/c | Dr. | | 8,400 | |
| | To Capital Reserve | | | | 8,400 |
| (Balance of 600 shares in Share Forfeiture Account transferred to Capital Reserve Account, after reissue) | | | |
| | | | |
Balance in ShareForfeiture Account (18,000 – 10,800) = ₹ 7,200
WorkingNotes:
For 400 Shares
| Share Forfeiture Account credited | ₹18 per share |
| Less: Share Forfeiture Account debited | ₹6 per share |
| Amount transferred to Capital Reserve Account, after adjustment | ₹12 per share |
Amount of 400 sharestransferred to Capital Reserve Account, after reissue
= 400 Shares @ ₹12 per share
= ₹ 4,800
For 200 Shares
| Share Forfeiture Account credited | ₹18 per share |
| Less: Share Forfeiture Account debited | Nil |
| Amount transferred to Capital Reserve Account, after adjustment | ₹18 per share |
Amount of 200 sharestransferred to Capital Reserve Account, after reissue
= 200 Shares @ ₹ 18per share
= ₹3,600
| Total amount transferred to Capital Reserve Account for 600 shares | = Capital Reserve for 400 shares + Capital Reserve for 200 shares |
| = 4,800 + 3,600 |
| = ₹8,400 |