On 1st April, 2023, Blue Heaven Ltd. was formed with an authorised capital of ₹ 20,00,000 divided into 2,00,000 equity shares of ₹ 10 each. The company issued prospectus inviting applications for 1,50,000 equity shares

On 1st April, 2023, Blue Heaven Ltd. was formed with an authorised capital of ₹ 20,00,000 divided into 2,00,000 equity shares of ₹ 10 each. The company issued prospectus inviting applications for 1,50,000 equity shares. The company received applications for 1,40,000 equity shares. During the first year, ₹ 7 per share were called. Arun holding 4,000 shares and Varun holding 3,000 shares did not pay the first call of ₹ 2 per share. Varun’s shares were forfeited after the first call and later on 1,800 of the forfeited shares were re-issued at ₹ 5 per share, ₹ 7 called up.

Show the following:

(a) Share Capital in the Balance Sheet of the company as per Schedule III Part I of the Companies Act, 2013.

(b) Also prepare ‘Notes to Accounts’ for the same.

[Ans. Subscribed but not fully paid capital ₹ 9,63,600; Forfeited Shares A/c ₹ 6,000; Share Capital ₹ 9,69,600.]