[ISC] Q. 55 Solution of Share Capital TS Grewal ISC 2023-24 Edition

Jindal Steels Ltd. company with registered capital of ₹ 5,00,000 in shares of ₹ 10 each issued 20,000 of such shares payable ₹ 2 on application, ₹ 4 on allotment, ₹ 2 on the first call, and ₹ 2 on the final call. All the moneys payable on allotment were duly received but on the first call being made one shareholder paid the entire balance on his holding of 300 shares and five shareholders with a total holding of 1,000 shares failed to pay their dues on the first call. These shares were forfeited for non-payment of the first call money. The final call was made and all the moneys due were received. Later on, the forfeited shares were reissued @ ₹ 6 per share fully paid-up.

Record the above in the company’s Journal and prepare Balance Sheet.