Amount due on calls made but not paid is known as __________.

calls-in-advance

No worries! We‘ve got your back. Try BYJU‘S free classes today!

calls-in-arrear

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

unpaid amounts

No worries! We‘ve got your back. Try BYJU‘S free classes today!

defaulting amounts

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is D calls-in-arrear
If any shareholder does not pay the amount his call money to the company on his due date, this is called calls-in-arrears. While showing in balance sheet, company deduct the amount of calls in arrears from total called up capital to show net paid up capital.

Suggest Corrections

Similar questions

Q. In case of non-payment of call money by a shareholder, we debit calls in arrear account with the amount from the defaulter.

Q. At the time of forfeiture of shares which were originally issued at a discount, the accounting entry will be
I. A Debit Share capital account with the called-up value of shares forfeited.
II. A Credit Share forfeiture account with the amount received on forfeited shares.
III. A Credit Discount on issue of shares with the amount of discount allowed on forfeited shares,
IV. A Credit Calls-in-arrears with the amount due but not paid on forfeited shares.

The subscribed capital of a company is Rs. 80,00,000 and the nominal value of the share is Rs. 100 each There were no calls in Arrear till the final call was made, the final call made was paid on 77,500 shares only. The balance in the calls in Arrear amounted to 62,500. Calculate the final call on share.

Q. The subscribed capital of a company was ₹40,00,000, and the nominal value of each share was ₹50. There were no calls-in-arrears till the final call was made, and the final call made was paid on 77,500 shares only. The balance in the calls-in-arrears amounted to ₹31,250. Calculate the final call on share.

[0.88 marks]

Whenever securities premium is not received and the shares are forfeited, what will be the treatment in Calls in Arrear A/c?

Join BYJU'S Learning Program

Amount due on calls made but not paid is known as __________.

The correct option is D calls-in-arrearIf any shareholder does not pay the amount his call money to the company on his due date, this is called calls-in-arrears. While showing in balance sheet, company deduct the amount of calls in arrears from total called up capital to show net paid up capital.

The correct option is D calls-in-arrear
If any shareholder does not pay the amount his call money to the company on his due date, this is called calls-in-arrears. While showing in balance sheet, company deduct the amount of calls in arrears from total called up capital to show net paid up capital.