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What is meant by Calls-in-Advance?

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Question

What is meant by Calls-in-Advance?

Short Answer
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Solution

Calls-in-Advance refers to a situation in which a shareholder pays the full or part of the amount for shares before they become due, i.e., before the company calls for payment. 
So, the amount of money paid in advance at the earlier stages is called Calls-in-Advance.

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Chapter 1: Accounting for Share Capital - Question for Practice [Page 67]

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NCERT Accountancy Company Accounts and Analysis of Financial Statements [English] Class 12
Chapter 1 Accounting for Share Capital
Question for Practice | Q 7. | Page 67
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