Margo Ltd, issued 1,00,000 equity shares of Rs 10 each at a premium of Rs 2 per share payable on call money, to the public for which they got full subscription. A shareholder holding 2,500 shares failed to pay call money of Rs 5 per share, and his shares were forfeited. Later on 70% of the forfeited shares were re-issued to Mr. Shyam for Rs 8 per share as fully paid up. Find out the capital reserve and also pass the necessary Journal entries.

Margo Ltd, issued 1,00,000 equity shares of Rs 10 each at a premium o

1.	Margo Ltd, issued 1,00,000 equity shares of Rs 10 each at a premium of Rs 2 per share payable on call money, to the public for which they got full subscription. A shareholder holding 2,500 shares failed to pay call money of Rs 5 per share, and his shares were forfeited. Later on 70% of the forfeited shares were re-issued to Mr. Shyam for Rs 8 per share as fully paid up. Find out the capital reserve and also pass the necessary Journal entries.
Answer» Margo Ltd, issued 1,00,000 equity shares of Rs 10 each at a premium of Rs 2 per share payable on call money, to the public for which they got full subscription. A shareholder holding 2,500 shares failed to pay call money of Rs 5 per share, and his shares were forfeited. Later on 70% of the forfeited shares were re-issued to Mr. Shyam for Rs 8 per share as fully paid up. Find out the capital reserve and also pass the necessary Journal entries.