Sarthaks Test
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On January 01, 2006, a limited company was incorporated with an authorised capital of Rs.40,000 divided into shares of Rs.10 each. It offered to the public for subscription of 3,000 shares payable as follows

Rs.

On Application                3 per share

On Allotment                  2 per share

On First Call (One month after allotment) 2.50 per share

On Second and Final Call 2.50 per share

The shares were fully subscribed for by the public and application money duly received on January 15, 2006. The directors made the allotment on February 1, 2006. 

How will you record the share capital transactions in the books of a company if the amounts due has been duly received, and the company maintains the combined account for application and allotment.

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Note: Entries for share application and share allotment are made separately but in this question they are taken together is single entry according to the requirement of the question:

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