Pass journal entries for the forfeiture and re-issue in the following cases: X Ltd forfeited 700 shares of Ashok of ₹ 10 each ₹ 8 called-up, on which he had paid ₹ 5 per share. Out of these, 500 shares were re-issued for ₹ 9 per share as fully paid

Pass journal entries for the forfeiture and re-issue in the following cases:

(a) X Ltd. forfeited 700 shares of Ashok of ₹ 10 each ₹ 8 called-up, on which he had paid ₹ 5 per share. Out of these, 500 shares were re-issued for ₹ 9 per share as fully paid.

(b) Y Ltd. forfeited 400 shares of ₹ 10 each, ₹ 6 called-up, for non-payment of first call of ₹ 2 per share. Out of these, 300 shares were immediately re-issued at ₹ 5 per share.

(c) Z Ltd. forfeited 300 shares of ₹ 100 each on which first call of ₹ 20 per share was not received, the second and final call of ₹ 30 per share has not yet been called. Out of these, 200 shares were re-issued as ₹ 70 paid-up for ₹ 55 per share.

[Ans. Capital Reserve (a) ₹ 2,000; (b) ₹ 900; (c) ₹ 7,000.]