Vikram Ltd. issued 50,000 shares of ₹ 10 each at a premium of ₹ 1 per share payable as follows: ₹ 3 on Application; ₹ 4 on Allotment (including premium)

Vikram Ltd. issued 50,000 shares of ₹ 10 each at a premium of ₹ 1 per share payable as follows:

₹ 3 on Application;
₹ 4 on Allotment (including premium)
₹ 2 on 1st Call
Balance when required

Applications were received for 46,000 shares and all of these were accepted. Directors did not make the final call. A shareholder holding 800 shares did not pay the amount due on first call. The shares were forfeited and re-issued at ₹ 7 per share, ₹ 8 per share paid.

Pass Cash Book and Journal Entries.

[Ans. Cash at Bank ₹ 4,18,000; Capital Reserve ₹ 4,000.]