Chapter 8. Company Accounts-Accounting for Share Capital 8.125 34. Competent Ltd. issued a prospectus inviting applications for 50,000 Equity Shares of 10 each, payable*5 as per application (including 2 as premium), 24 as per allotment and the balance towards first andfinal call.Applications were received for 65,000 shares. Application money received on 5,000 shares was refundedwith letter of regret and allotments were made on pro rata basis to the applicants of 60,000 shares. Moneyoverpaid on applications including premium was adjusted on account of sums due on allotment.Mr. Sharma to whom 700 shares were allotted failed to pay the allotment money and his shares wereforfeited by the Directors on his subsequent failure to pay the call money.All the forfeited shares were subsequently sold to Mr. Jain credited as fully paid-up for 9 per share.You are required to set out the Journal entries and the relevant entries in the Cash Book.​