Question

$\begin{array}{ccccc}\text{Date}& \text{Particulars}& \text{L.F.}& \text{Debit (₹)}& \text{Credit (₹)}\\ & \text{Share Capital A/c}\text{Dr.}& & \underset{–}{\text{(i)}}& \\ & \text{Securities Premium A/c}\text{Dr.}& & \text{4,000}& \\ & \text{To Share Forfeiture A/c}& & & \text{8,000}\\ & \text{To Calls in Arrears A/c}& & & \text{14,000}\\ & \underset{–}{\text{( \_\_\_\_\_ shares forfeited for non-payment of ₹ \_(ii)\_\_\_ including premium of ₹2 per share)}}& & & \\ & \text{Bank A/c}\text{Dr.}& & \underset{–}{\text{(iii)}}& \\ & \text{Shares Forfeiture A/c}\text{Dr.}& & \underset{–}{\text{(iv)}}& \\ & \text{To Share Capital A/c}& & & \underset{–}{\text{(v)}}\\ & \underset{–}{\text{( \_\_\_\_\_\_\_ shares reissued at ₹9 per share, fully paid at ₹10 per share)}}& & & \\ & \text{Share Forfeiture A/c}\text{Dr.}& & \text{1,400}& \\ & \text{To Capital Reserve A/c}& & & \text{1,400}\\ & \text{(Net gain on reissued shares transferred to capital reserve)}& & & \\ & & & & \end{array}$
Note: Face value of shares is ₹10 each.
(i) The shares were forfeited for non-payment of:

[2 marks]

• A. ₹10 per share
• B. ₹7 per share
• C. ₹9 per share
• D. ₹12 per share

Answer 1

The correct option is B ₹7 per share

Calls-in-arrears = $\frac{₹14,000}{2,000}$

= ₹7 per share