InterviewSolution
Saved Bookmarks
| 1. |
The Directors of a company forfeited 300 shares of ₹ 10 each issued at a premium of ₹ 3 per share, for the non-payment of the first call money of ₹ 2 per share. The final call of ₹ 2 per share has not been made. Half the forfeited shares were reissued at ₹ 1,500 as fully paid-up. Record the journal entries for the forfeiture and reissue of shares. |
|
Answer» Reserve is 900.Explanation:Calculation of Balance of forefeiture of REISSUED shares.Share forefeiture PER share Cr. =Rs.6Less ( Share forefeiture per share Dr) =NIlBalance of forefeiture of reissued shares = Rs.6Capital Reserve=Balance of forefeiture of reissued shares × NUMBER of Shared reissued= 6 ×150 = Rs.900 |
|