At the time of forfeiture of shares the share capital account will be :

CS Executive · Corporate and Management Accounting · PYQS · December 2019
At the time of forfeiture of shares the share capital account will be :
(A) Debited with paid up value of share forfeited
(B) Debited with called up value of shares forfeited
(C) Debited with face value of shares forfeited
(D) Debited with issue price of shares forfeited

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Company Accounts

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