Accountancy > accounting-for-companies > Accounting For Share Capital

Kavya Ltd. invited applications for issuing 30,000 shares of ₹10 each at a premium of ₹2 per share. The amount was payable as follows: On application and allotment: ₹7 per share On first and final call: ₹5 per share (including ₹2 premium) Applications were received for 33,000 shares. Applications for 3,000 shares were rejected and money returned to the applicants. Applications for 30,000 shares were accepted in full. The application and allotment money was duly received. The first and final call was made and money received except from a shareholder holding 500 shares. His shares were forfeited. All these shares were re-issued to Kartik as fully paid for ₹8 per share. Pass necessary journal entries for the above transactions in the books of Kavya Ltd. Open calls-in-arrears account wherever required.