Advertisements
Advertisements
प्रश्न
Ikea Ltd. issued 5,00,000 shares of ₹ 10 each at a premium of 20% payable,
On Application ₹ 4 per share;
On Allotment ₹ 6 per share;
Balance as First and Final Call.
It received ₹ 16,00,000 as Application money.
You are required to pass the Journal entries for the above.
रोजकीर्द नोंद
Advertisements
उत्तर
| Journal Entries | ||||
|---|---|---|---|---|
| Date | Particulars | L.F. | Dr. (₹) | Cr. (₹) |
| 1. | Bank A/c ...Dr. | 16,00,000 | ||
| To Shares Application A/c | 16,00,000 | |||
| (Being application money received @ ₹ 4 per share on 4,00,000 shares) | ||||
| 2. | Shares Application A/c ...Dr. | 16,00,000 | ||
| To Bank A/c | 16,00,000 | |||
| (Being application money refunded due to non-receipt of minimum subscription) | ||||
Working note:
Shares issued: 5,00,000 shares
Minimum subscription required:
5,00,000 × 90% = 4,50,000 shares
Application money received: ₹ 16,00,000
Number of shares applied for:
`(16,00,000)/4 = 4,00,000` shares
Since applications were received for only 4,00,000 shares, which is less than the minimum subscription of 4,50,000 shares, the company cannot proceed with the allotment.
Therefore, the entire application money of ₹ 16,00,000 is refunded.
shaalaa.com
या प्रश्नात किंवा उत्तरात काही त्रुटी आहे का?
