Question :
When shares are forfeited, Share Capital Account is debited with
Option 1: Nominal (face) value of shares
Option 2:
Called-up share capital
Option 3: Paid-up value of shares
Option 4: Market value of shares
Correct Answer:
Solution : Answer = Called-up share capital
When shares are forfeited, the following entry will be passed:
Share Capital A/c Dr. with the called-up amount To Share Forfeiture A/c with the amount received To Calls-in-arrears A/c with the amount not received
At the time of the reissue of all forfeited shares
Question : Share Capital Account is debited with which amount at the time of forfieture of shares?
An increase in the value of assets at the time of retirement of a partner is
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