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



Discussion

No Comment Found

Related InterviewSolutions