the sumhanse bdide sheel Of SP Ltd.

as on
31-3-2017 was as follows
Liabilities
Assets
Share Capital
Fixed Assets 4,00.000
Authorised Investments 1.00.000
S0.000 Equity Shares of10 each
8% 2.000 Redeemable Preterence
5,00,000 Cash at Bank 2.50.000
Shares of 100 each
2,00,000
ssued and Paid up :
40.000 Equity Shares of ? 10 each,
fully paid up 4,00,000
8. 1.000 Redeemable Preterence
Shares of ? 100 each fully paid up 1,00,000
Proft and Loss Alc 90,000
Generai Reserve 50,000
Sundry Credtors ,10,000
7,50,000 7.50.000
 -IS the books ofr.the I| Nãd also a ResevewUyof shareholders in
016:The share capital of Caltex Ltd. company. 1,10.000.
100.000 Equity
s consists of : (Ans. CRR 30,000- =
0006% Pref. Shares of* 1each fully paid, and 18,000 12,000)
The company hadShares of ? 1each
fuly paid,
Reserve of R50,000. balance on Profit and redeemabl e
a credit at apremium of
Loss Account of? 80,500 and10%.abalance on
The company resolved: General
(1) To make a bonus
iSSue of one share for every two
General Reserve. held by the existing equity
shareholders trom
2) To redeem the
preference shares.
) lo IiSsue 30,000 equity
shares of 1 each at a premium of 1212 %in order to provide part of
unds necessary for the redemption of preference shares. the
me resolutions were duly carried out. You are required to show the ledger accounts necessary to
ecord the above
transactions. [Ans.: CRR 20.000)
 9:07 AM|47.5KB.. 48

Guests are waiting to join. View lobby X

MODULF2-Bedrption of Pt, Sha i21 tnQ5)-Poit X

Desgn Trargitions Animationa Slide Shou View Hetp lellme hat you wat to de 8 share

ttle Piture Orlire Sdeeot Prta Stapes leurs 3D Smatt Chat AMe Atd ins Zocn Tat ira Wra Calr & side Ctjet Lqation Video Adio Sen
Ti- n b t
urae

05

The folowing lems appear in the Balance Sheet ol Deshbandhu Limited as on 31st March 2017
a) Share Captal
Eouity Authorised 5,00,000 Shares of 10 each -lssued, subscribed caled and pad up
400,000 Shares of 10 each.
Preference- Authorised, Issued and Subscrtbed -60,00, 12 %Prelerence Shares of ?20 each
uly paid.
b) Investments - 3.50.00.
c) Profit &Loss Account (Credit) Balance-7.00.000
twas decided to redeem the preference shares al a premium of 5% as on 31st March, 2017. t was
urther decided to :
() Selinvestments for t 3.00.000:
of R140,000 in
(2) Finance part of the redemption fully out ol profits, subjec to leaving a balance
the profit and loss account; and
Ouficient number ol equty shares at a premum of 2lo raise the ebalance of the hunds
Nud. The above decisions have been camed out and the preference shares
redeemed
transactons.
Le Joumal entries to recond the above

Cick to add rotes

etrs crcrts

Mushira C

FS FM FS FS

SNEHALS VIKRAM M HARSHITH.

 as on 31-3-2017
Folowing is the Balance Sheet of Zakal Auto Ld.
Assets
Llabititiees
3000- 9% Redeemable Preference Fixed Assets 12.00.000
2.40,000 Investment (at cost) 2.90 000
Share of 100 each 80 pad up 1,70,000
Bank Balance
120.000 Equity Share of 10 Assets 4,00,000
each tuly pavd 12 00.000 Other Current
Reserve 1.50.000
85 Debentures 2.00.000
Current Labilbes 2,70,000
20.60.000 20.60,000
On the above date 94 Preference Shares were redeemable at a premium of 5%
1 The company made final call of ? 20 per share on these shares. All the shareholders pad the
call money.
2 The company issued 20.000 equty shares of ? 10 each at a premum of ? 2 per share for cast
considerabon. The issue was fully subscribed and paid tor.
3. Part of the investrnents were sold tor 1,32.000 at a profit of 10% on cost
4 The company redeemed the preterence shares as per the terms. One preference sharehooe
holdng 100 shares was untraceable, hence payment couid not be
made to hin.
You are required to pass necessary Jourmal Entnes in the books of Zakal Auto Ltd. to record tre
above transactons
 Q.3)
ACompany has 4{000 redeemable preference shares of? 100
n redeem these each, fuly
shares on December 31, 2017 at a oremium of 5%. paid. The company decides
olowing issues : The company makes the
(al 1.000 Equty Shares ott 100 each at a
premium ot 109%.
D1.000 Debentures of 100 each.
The issues were tully subscnbed and allotments were
made. The redemption was duly carried out.
The company has suthicient protits. Give Joumal enties to
record the above transactions.
 31-12-2017, ConsIsted ot 12,0UU 8% regemhe
Bharat Ltd. whose issued share capial on
and 40,000 equty shares of? 100 each, ?80 paid un
prelerence shares of ?100 each fuly paid company' s baange
premium of t 10 per share. The
decided to redeem preference shares at a
a general reseve of18,00,000 and a captal reserve of1.700
sheet as at 31-122017, showed
The redempton was efecled pardly out of protis and party out of the proceeds of new 'SSue d
6.00 7.5% Cumulatve preference share of 100 each at apremium of ?25 per share.
You are required to pass necessary journal entries.
Q.1) Chaitra Ltd had 10,000 6% Redeemable
preference shares of Rs 100 each. These shares
were due for redemption on 31-3-2021 at a
premium of 10%. To Carry out the redemption the
company issued fresh 2500 Equity shares of Rs
100each at a premium of 7.5%.The Company had
a balance of Rs 50,000 in Securities premium and
Rs 9,75,000 in Profit and Loss A/c.

Pass necessary Journal Entries.