DF Ltd. invited applications for issuing 50,000 shares of Rs. 10 each at a premium of...

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DF Ltd. invited applications for issuing 50,000 shares of Rs. 10 each at a premium of Rs. 2 per share, The amount was payable as follows: On Application: Rs. 3 per share (including premium Rs. 1) On Allotment: Rs. 3 per share (including premium Rs. 1) On First call : Rs. 3 per share On Second and Final Call: Balance amount Application for 70,000 shares were received. Allotment was made on the following basis. Applications for 5,000 shares - Full Applications for 50,000 shares - 90% Balance of the applications were rejected. Rs. 1,11,000 were received on account of allotment. The amount of allotment due from the shareholders to whom shares were allotted on prorata basis was fully received. A few shareholders to whom shares were allotted in full, failed to pay the allotment money. Rs. 1,20,000 were received on first call. Directors decided to forfeit those shares on which allotment and call money was due. Half of the forfeited shares were re-issued @ Rs. 8 per share fully paid up. Final call was not made. Pass the necessary journal entries for the above transactions in the book of DP Ltd. DF Ltd. invited applications for issuing 50,000 shares of Rs. 10 each at a premium of Rs. 2 per share, The amount was payable as follows: On Application: Rs. 3 per share (including premium Rs. 1) On Allotment: Rs. 3 per share (including premium Rs. 1) On First call : Rs. 3 per share On Second and Final Call: Balance amount Application for 70,000 shares were received. Allotment was made on the following basis. Applications for 5,000 shares - Full Applications for 50,000 shares - 90% Balance of the applications were rejected. Rs. 1,11,000 were received on account of allotment. The amount of allotment due from the shareholders to whom shares were allotted on prorata basis was fully received. A few shareholders to whom shares were allotted in full, failed to pay the allotment money. Rs. 1,20,000 were received on first call. Directors decided to forfeit those shares on which allotment and call money was due. Half of the forfeited shares were re-issued @ Rs. 8 per share fully paid up. Final call was not made. Pass the necessary journal entries for the above transactions in the book of DP Ltd.

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Particulars LF Debit Rs Credit Rs Bank Ac Dr 210000 To Share Application ... View the full answer