ABC Limited issued 20, 000 equity shares of Rs.10 each payable as: - Rs.2 per share...

 

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ABC Limited issued 20, 000 equity shares of Rs.10 each payable as: - Rs.2 per share on application Rs.3 per share on allotment - Rs.4 per share on first call - Rs.1 per share on final call. All the shares were subscribed. Money due on all shares was fully received except for Mr. Bird, holding 300 shares, who failed to pay first call and final call money. All those 300 shares were forfeited. The forfeited shares of Mr. Bird were subsequently re-issued to Mr. John as fully paid up at a discount of Rs.2 per share. Pass the necessary Journal Entries to record the above transactions in the books of ABC Limited. ABC Limited issued 20, 000 equity shares of Rs.10 each payable as: - Rs.2 per share on application Rs.3 per share on allotment - Rs.4 per share on first call - Rs.1 per share on final call. All the shares were subscribed. Money due on all shares was fully received except for Mr. Bird, holding 300 shares, who failed to pay first call and final call money. All those 300 shares were forfeited. The forfeited shares of Mr. Bird were subsequently re-issued to Mr. John as fully paid up at a discount of Rs.2 per share. Pass the necessary Journal Entries to record the above transactions in the books of ABC Limited.

Answer rating: 100% (QA)

W No 1 First Call Money Received First call money due Calls in arrear 300 4 First Call M... View the full answer