Zee Ltd. with a registered capital of ₹ 5,00,000 in shares of ₹ 10 each, invited applications for 20,000 shares payable as under

Zee Ltd. with a registered capital of ₹ 5,00,000 in shares of ₹ 10 each, invited applications for 20,000 shares payable as under:

₹ 2 per share on application;

₹ 2 per share on allotment;

₹ 3 per share on first call; and

₹ 3 per share on final call.

An applicant who had been allotted 250 shares failed to pay the allotment and the first call money due from him. His shares were forfeited. After this the final call was made and the forfeited shares were reissued as fully paid-up @ ₹ 8.50 per share.

Pass Journal entries and show company’s Balance Sheet.