Question

Lennova Ltd. has authorised share capital of ₹ 1,00,00,000 divided into 1,00,000 Equity Shares of ₹ 100 each . It has existing issued and paid up capital of ₹ 25,00,000. It further issued to public 25,000 Equity Shares at a premium of 20% for subscription payable as under:

On Application:	₹ 30
On Allotment:	₹ 60 and
On Call:	Balance Amount.

The issue was fully subscribed and allotment was made to all the applicants . The company did not make the call during the year.
Show share capital of the company in the Balance Sheet of the Company.

Answer 1

Balance Sheet of Lennova Ltd.
Particulars	Note No.	Amount (Rs)
I. Equity and Liabilities
1. Shareholders’ Funds
a. Share Capital	1	42,50,000
b. Reserves and Surplus	2	5,00,000
Total		47,50,000
II Assets
2. Current Assets
Cash and Cash Equivalents	3	47,50,000
Total		47,50,000

Notes to Accounts
Particulars		Amount (Rs)
1. Share Capital
Authorised Share Capital
1,00,000 Equity Shares of Rs 100 each		1,00,00,000
Issued Share Capital
25,000 Equity Shares of Rs 100 each	25,00,000
25,000 Equity Shares of Rs 100 each	25,00,000	50,00,000
Subscribed Share Capital
Subscribed and Fully paid-up
25,000 Equity Shares of Rs 100 each		25,00,000
Subscribed but not fully paid-up
25,000 Equity Shares of Rs 100 each, 70 called-up		17,50,000
2. Reserves and Surplus
Securities Premium Reserve (25,000 shares @ Rs 20 per share)		5,00,000
3. Cash and Cash Equivalents
Bank		47,50,000