Question

Atishyokti Ltd. company was registered with an authorized capital of ₹ 20,00,000 divided into 2,00,000 Equity Shares of ₹ 10 each, payable ₹ 3 on application, ₹ 6 on allotment (including ₹ 1 premium) and balance on call. The company offered 80,000 shares for public subscription. All the money has been duly called and received except allotment and call money on 5,000 shares held by Manish and call money on 4,000 shares held by Alok. Manish’s shares were forfeited and out of these 3,000 shares were re-issued ₹ 9 per share as fully paid up. Show share capital in the books of the company. Also prepare notes to accounts.

Answer 1

Balance Sheet (Extract) as at:

Particulars	Note No	Amount
I. EQUITY AND LIABILITIES
(1) Shareholder’s Funds
(a) Share Capital	1	7,78,000

Notes to Accounts:

Note 1:

Particulars	Details	Amount
1. Share Capital
Authorised Capital		20,00,000
2,00,000 Equity shares of Rs.10 each
Issued Capital		8,00,000
80000 Equity shares of 10 each
Subscribed capital		7,40,000
Subscribed and fully paid up
74,000 equity shares of 10 each
Subscribed but not fully paid-up
4,000 equity shares of 10 each	40,000	32,000
Less: calls in arrears (4,000 × 2)	(8,000)
Add Forfeited Shares		6,000
2,000 equity shares @3
		7,78,000