Give the definition of a share.

What is meant by capital reserve?

What is meant by over-subscription.

What arr preliminary expenses?

State the steps other than rejecting applications that a company can take in case of over subscription.

Give any one purpose for which the amount received as 'Securities Premium' may be utilised.

D Ltd. invited applications for issuing 10,00,000 equity shares of Rs.10 each. The public applied for 8,55,000 shares. Can the company proceed for the allotment of shares? Give reason in support of your answer.

Joy Ltd. issued 1,00,000 equity shares of Rs.10 each. The amount was payable as follows:

On Application - Rs.per share

On allotment - Rs.4 per share

On 1st and final call - balance

Applications for 95,000 shares were received and shares were alloted to all the applicants. Sonam to whom 500 shares were alloted failed to pay allotment money and Gautam paid his entire amount due including the amount due on first and final call on the 750 shares alloted to him along with allotment. Calculate the amount received on allotment.

D Ltd invited applications for issuing 10,00,000 equity shares of Rs10 each. The public applied for 8,55,000 shares? Can the company proceed for the allotment of shares? Given reason in support of your answer.

Can the forfeited shares be re-issued at a discount?

A Ltd forfeited 200 shares of Rs 10 each, Rs 7 called-up on which M had paid application and allotment money of Rs 5 per share. Of these, 150 shares were re-issued to N as fully paid-up for Rs 6 per share. Pass necessary journal entries.

Star Mills Ltd was registered with a capital of Rs 5,00,000 divided into 20,000 shares of Rs 25 each. The company offered to public for subscription 10,000 shares payable Rs 5 per share on application, Rs 5 per share on allotment and the balance in two calls of Rs 7.50 each. The company received applications for 11,600 shares. Applications for 1,000 shares were rejected altogether and applications money was returned to the applicants. A person who applied for 1,000 shares was allotted only 400 shares and excess of his application money was carried forward towards the payment of allotment and calls. Give journal entries to record the above issue of shares and show how it will be shown in the balance sheet.

Inderjeet Ltd made an issue of 75,000 shares of the par value o f Rs .50 per share. The issue was oversubscribed to the extent of 25,000 shares and allotment as made as under
(i) Applications of 5,000 
(ii) Applications of 10,000 shares are allotted in full.
(iii) For the balance 85,000 shares, the pro-rata allotment was made.
Journalise the above transactions, when the company called rs 20 on applications, Rs 20 on allotment and the balance on first and final call. Also, identify the value violated by the company.