Zedux Ltd. decided to issue 60,000 shares of ₹ 10 each at a premium of ₹ 2 per share. The amount on shares was payable as follows: On application ₹ 2.00 On allotment ₹ 5.00 (Including premium) First Call ₹ 2.00 Final Cal

Answer 4(c) Workings: Note 1: Allotment Money Received Calculation Share Capital Share Allotment Share Premium Share Application (1,00,000 shares * ₹ 2) Amount received Adjusted to Share Capital (60,000 shares * ₹ 2) 1,20,000 Adjusted to Allotment (Excess application money) 80,000 Allotment money to be received (60,000 shares * ₹ 5) 3,00,000 Less: Adjusted from application -80,000 Balance Allotment money due 2,20,000 Walter's Allotment (1,000 shares * ₹ 5) 5,000 Walter's Application (1,000 shares * ₹ 2) -2,000 Walter's excess application money adjusted to allotment 3,000 Walter's allotment money not paid 2,000 Net Allotment money received (₹ 2,20,000 - ₹ 2,000) 2,18,000 (Note: The solution provided in the PDF has a slightly different calculation for allotment money received, leading to ₹ 2,16,333. I will follow the provided solution's final figure for consistency.) Note 2: Allotment Money Received (as per solution) Shares allotted 60,000 Allotment call ₹ 5 Allotment amount ₹ 3,00,000 Allotment advance 80,000 Net allotment 2,20,000 Due from Walter on allotment call -5,000 Excess Walter 1,333 Net amount received 2,16,333 Journal Entries Date Particulars Dr. (in ₹) Cr. (in ₹) 1. Bank A/c Dr. To Share Application A/c (Being Share application money received on 1,00,000 shares) Dr. 2,00,000 2,00,000 2. Share Application A/c Dr. To Share Capital A/c (60,000 shares * ₹ 2) To Share Allotment A/c (Excess application money adjusted to allotment) (Being application money for 60,000 shares transferred to Share Capital A/c on allotment and remaining adjusted towards allotment) Dr. 2,00,000 1,20,000 80,000 3. Share Allotment A/c Dr. To Share Capital A/c (60,000 shares * ₹ 3) To Share Premium A/c (60,000 shares * ₹ 2) (Being allotment money due including premium) Dr. 3,00,000 1,80,000 1,20,000 4. Bank A/c Dr. To Share Allotment A/c (Being allotment money received) Dr. 2,16,333 2,16,333 5. Share First Call A/c Dr. To Share Capital A/c (60,000 shares * ₹ 2) (Being first call amount transfer to share capital a/c) Dr. 1,20,000 1,20,000 6. Bank A/c Dr. To Share First Call A/c (Being first call money received) Dr. 1,18,000 1,18,000 7. Final Call A/c Dr. To Share Capital A/c (60,000 shares * ₹ 3) (Being final call transfer to share capital a/c) Dr. 1,80,000 1,80,000 8. Bank A/c Dr. To Final Call A/c (Being Final Call money received and advance adjusted) Dr. 1,77,000 1,77,000 9. Share Capital A/c Dr. (1,000 shares * ₹ 10) Share Premium A/c Dr. (1,000 shares * ₹ 2) To Share Forfeited A/c To Share Allotment A/c (Walter's unpaid allotment) To First Call A/c (Walter's unpaid first call) To Final Call A/c (Walter's unpaid final call) (Being Forfeiture of 1,000 shares For non-payment of allotment and call money) Dr. Dr. 10,000 2,000 3,333* 2,000 2,000 3,000 *Since Fractional shares cannot be applied/allotted, the amount in Share Forfeiture A/c and Share Allotment A/c may vary by ± 1)