Accounting for ...

Shares in Sharma Ltd. was acquired by Mr. B at a cost of Rs. 50,000. During the current p.y. he got right to acquire fresh shares. On the date of receiving the right entitlement intimation fair market value of existing shares held by Mr. B was Rs. 60,000. Mr. B sold the right paper for Rs. 75,000. His capital gains liability would be

When company issues shares to vendors of assets for a consideration other than cash such shares are issued:

On a share of Rs. 10 on which Rs 8 has been called up but Rs. 5 has been paid forfeited. The share capital account should be debited by:

When shares are forfeited the share capital account is debited with the:

When the amount of 'Calls-in-advance' is received, the accounting entry will be made is:

The balance of the share forfeiture account after the reissue of forfeited shares is transferred to __________________.

In the above question assuming the forfeited shares were subsequently reissued as fully paid @ Rs.7 each. What is the entry for reissue of forfeited shares?

When shares are issued at discount, the amount of discount is debited to _______, which is in the nature of capital loss for the company.

In a share of Rs. 50, on which Rs.30 has been paid, is forfeited, it can be re-issued at the minimum price of ________________.

The Shekhawati Ltd. currently has sales of Rs. 30 Lakh with an average period of 2 months. At present,  no discount are offered to the  customers. The M. D. of the company is thinking to allow a discount of $$2\%$$ on cash sales which results in
(i) The average collection period would reduce to one month.
(ii) The company normally requires a $$25\%$$ return on its investment.
(iii) $$50\%$$ of customers would take advantage of $$2\%$$ discount.
In the above changed situation,the net  increase in profit of the company will be ___________.