Zen Ltd. issued 10,000 Equity shares of Rs. 10 each at a premium of Rs. 3 per share payable as:
`{:("On Application",,"Rs. 4,"),("On Allotment",,"RS. 5 (including premium),"),("On First Call",,"Rs. 2,"),(,,),(,,):}`
Application were received for 12,000 shares.The company made pro rata allotment to all the applicants. One shareholder who was allotted 900 shares paid the entire amount with allotment while another shareholder who had applied for 1,200 shares, failed to pay the allotment money and on his subsequent failure to pay the first call his shares were forfeited.
Of the forfeited shares, 800 were reissued at Rs. 7 per share.
You are required to prepare:
(i) Shares Allotment Account.
(ii) Securities Premium Reserve Account.
(iii) Shares Forfeiture Account.
(iv) Calls-in-Arrears Account.

Explanation

Working Notes:
1. Excess application money adjusted on allotment=(12,000-10,000)`xx` Rs. 4 = Rs. 8,000.
2. Amount not received from defaulter shareholders (Call-in-Arrears):
(i) Shares allotted to him `=(10,000)/(12,000)xx1,200=1,000`
(ii) Application money received = 1,200`xx`Rs. 4 = Rs. 4,800
(iii) Application money due on shares allotted =1,000 `xx` Rs.4=Rs. 4,000
(iv) Excess Application money adjusted on allotment = Rs. 4,800-Rs. 4,000=Rs. 800
(v) Allotment money due on shares allotted = 1,000 `xx` Rs. 5 = Rs. 5,000
(vi) Allotment money due but not received (Calls-in-Arrears)=Rs. 5,000-Rs. 800=Rs. 4,200.
` {:("3. Calculation of amount received on allotment later on:",," Rs."),(" Total allotment money due (10,000"xx"Rs. 5 )",,"50,000"),(" Less: Excess application money adjusted (WN 1)",," 8,000"),(,,bar(42,000)),(" Less: Allotment money due but not received (WN 2)",," 4,200"),(" Amount received on Allotment",,barul(ul(37,800))),(,,):}`
`{:("4. Calculation of amount transferred to Capital Reserve:",,),(" Amount forfeited on reissued shares (Rs. 4,800/1,000"xx"800)",,"3,840"),(" Less: Reissue Discount (800"xx"Rs. 1)",," 800"),(" Gain on reissue transferred to Capital Reserve",,barul(ul(3,040))),(,,):}`