Pawan Ltd. invited applications for 30,000 shares of Rs 10 each. Payments were to be made
Channel: Doubtnut
Date: 2020-04-26

Pawan Ltd. invited applications for 30,000 shares of Rs 10 each. Payments were to be made as follows - Rs 3 on Application , Rs 3 on Application, Rs 3 on Allotment, Rs 2 on First call and Rs 2 on Final call.  All the shares were applied. You are required to prepare Journal Entries, Ledger Accounts and show the Share Capital in the Balance Sheet of the company assuming that all sums due on Allotment and Calls have been received. Share Issue expenses amounted to Rs 8,000. 4,000 fully paid shares were also issued to Promoters for their services.