A company issued 10,000 shares of ₹ 10 each at a premium of ₹ 1 per share, payment to be made as follows: Applications were received for 20,000 shares. Applications for 5,000 shares were rejected

A company issued 10,000 shares of ₹ 10 each at a premium of ₹ 1 per share, payment to be made as follows:

Applications were received for 20,000 shares. Applications for 5,000 shares were rejected and allotment was made proportionately to the remaining applicants. The directors made both the calls and all the money were received, except the allotment, first call and final call on 400 shares, which were subsequently forfeited. Later, 300 of the forfeited shares were re-issued as fully paid @ ₹ 15 per share. Give journal entries to record the above.

[Ans. Amount received on allotment ₹ 24,000; Capital Reserve ₹ 1,350.]