Question

What is a reissue of forfeited shares?

Answer 1

Shares forfeited can be reissued by the company. The shares can be reissued at any price. But, the reissue price cannot be less than the amount unpaid on forfeited shares.
When forfeited shares are reissued at a loss, such loss is to be debited to the forfeited shares account. When forfeited shares are reissued at a premium, the amount of such premium will be credited to the securities premium account.