Alfa Ltd. invited applications for issuing Rs.75,000 equity shares of Rs.10 each. The amount was payable as follows:
On application and allotment – Rs.4 per share.
On first – Rs.3 per share
On second and final call – Balance
Applications for Rs.1,00,000 shares were received. Shares were allotted to all the applicants on prorata basis and excess money received with application was transferred towards sums due on first call. Vibha who was allotted 750 shares ** to pay the first call. Her shares were immediately forfeited. Afterwards the second call was made. The amount due on second call was also received except on 1000 shares, applied by Monika. Her shares were also forfeited. All the forfeited shares were re-issued to Mohit for Rs.9,000 as fully paid up. Pass necessary journal entries in the books of Alfa Ltd. for the above transactions.
