Accountancy 6 Marks Question

Satnam Ltd. purchased Building worth ₹ 5,00,000, Plant worth ₹ 4,60,000 and Furniture worth ₹ 2,20,000 from Gurnam Ltd. for a purchase consideration of ₹ 12,60,000. Satnam Ltd. paid the purchase consideration by issuing 10% debentures of ₹ 100 each. Pass the necessary journal entries in the books of Satnam Ltd. for the acquisition of assets and issue of 10% debentures when:
a. Debentures were issued at par.
b. Debentures were issued at premium of 25%.
c. Debentures were issued at a discount of 10%.

Puneet, Pankaj and Pammy are partners in a business sharing profits and losses in the ratio of 2 : 2 : 1 respectively. Their balance sheet as on March 31, 2019 was as follows:

Books of Puneet, Pankaj and Pammy Balance Sheet as on March 31, 2019
Liabilities		Amount ₹	Assets	Amount ₹
Sundry Creditors		1,00,000	Cash at Bank	20,000
Capital Accounts:			Stock	30,000
Puneet	60,000		Sundry Debtors	80,000
Pankaj	1,00,000		Investments	70,000
Pammy	40,000	2,00,000	Furniture	35,000
Reserve		50,000	Buildings	1,15,000
		3,50,000		3,50,000

Mr. Pammy died on September 30, 2017. The partnership deed provided the following:
i. The deceased partner will be entitled to his share of profit up to the date of death calculated on the basis of previous year's profit.
ii. He will be entitled to his share of goodwill of the firm calculated on the basis of 3 years' purchase of average of last 4 years' profit. The profits for the last four financial years are given below:
for 2015-16; ₹ 80,000; for 2016-17, ₹ 50,000; for 2017-18, ₹ 40,000; for 2018-19, ₹ 30,000.
The drawings of the deceased partner up to the date of death amounted to ₹ 10,000. Interest on capital is to be allowed at 12% per annum. Surviving partners agreed that ₹ 15,400 should be paid to the executors immediately and the balance in four equal yearly instalments with interest at 12% p.a. on the outstanding balance.
Show Mr. Pammy's Capital account, his Executor's account till the settlement of the amount due.

Viswas Ltd. issued a prospectus inviting applications for 20,000 shares of ₹ 10 each at a premium of ₹ 4 per share, payable as follows:

On Application	₹ 4 (including premium ₹ 1)
On Allotment	₹ 3 (including premium ₹ 1)
On First Call	₹ 3 (including premium ₹ 1)
On Second and Final Call	₹ 4 (including premium ₹ 1)

Applications were received for 30,000 shares and pro-rata allotment was made on the applications for 24,000 shares. It was decided to utilise excess application money towards the sums due on allotment.
X, who was allotted 500 shares, failed to pay the allotment money and on his subsequent failure to pay the first call, his share were forfeited.
Y, who applied for 1,800 shares, failed to pay the two calls and his shares were forfeited after the second call. Of the shares forfeited, 1,700 shares were re-issued as fully paid up for ₹ 8 per share, the whole of Y's shares being included.
Prepare Cash Book, Journal and Balance Sheet.

Street Food Ltd. issued a prospectus offering 10,000 equity shares of ₹ 50 each at par payable as follows:

	₹
On Application	15
On Allotment	10
On First Call	15
On Final Call	10

Rohit, the holder of 500 equity shares did not pay the amount due on both the calls. These 500 shares were forfeited by the Board of Directors and 300 of these shares were subsequently re-issued at ₹ 55 per share.
Show the entries in the Cash Book and Journal of the Company.