Question

Pinnacle Instruments Ltd. registered itself with a capital of ₹ 20,00,000 divided into Equity Shares of ₹ 100 each.
On 1st June, 2014, the company issued 5,000 Equity Shares as fully paid to Mila Herbals, as purchase consideration for the purchase of plant and machinery.
The remaining shares were issued to the public at par.
Till the date of the Balance Sheet, the Directors had called from the public, 60% of the nominal value of the shares.
The amount called was received by the company.

You are required to prepare as at 31st March, 2015:

1. The Balance Sheet of Pinnacle Instruments Ltd. as per Schedule III of the Companies Act, 2013.
2. Notes to Accounts.

Answer 1

Balance Sheet of Pinnacle Insturments Ltd. as at 31st March, 2015.
Particulars	Note No.	₹
I. EQUITY & LIABILITIES:
(1) Shareholders’ Funds:
Share Capital	1	14,00,000
Total		14,00,000
II. ASSETS:
(1) Non-Current Assets:
Property, Plant and Equipment	2	5,00,000
(2) Current Assets:
Cash and Cash Equivalents	3	9,00,000
Total		14,00,000

Notes to Accounts:

Note 1: Share Capital

Particulars	₹
(1) Share Capital
Authorised Capital:
20,000 Equity Shares of ₹ 100 each	20,00,000
Issued Capital:
20,000 Equity Shares ₹ 100 each	20,00,000
Subscribed Capital:
Subscribed and Fully Paid Capital
5,000 Shares ₹ 100 each	5,00,000
(Issued as fully paid up for purchase of Plant & Machinery)
Subscribed but not Fully Paid Capital
15,000 Shares ₹ 100 each, ₹ 60 Called up	9,00,000
Total	14,00,000

Note 2: Property, Plant and Equipment

Particulars	₹
Plant and Machinery (purchased from Mila Herbals)	5,00,000

Note 3: Cash and Cash Equivalents

Particulars	₹
Cash received from public (15,000 × ₹ 60)	9,00,000