Seat Number: 454517

Seat Number in Words: FOUR LAKH FIFTY-FOUR

THOUDAND . FIVE
HUNDRED AND SEVENTEEN
Semester: 2
Name of the course: Corporate Accounting
 In the Books of VIOLA Ltd
JOURNAL
Date
 Working Notes

STEP 1- VIOLA LTD 24000* 15= 3600000

YARROW LTD- 30000*10= 3,00,000

STEP 2- VIOLA LTD 24000*25= 600000

YARROW LTD = 30000* 12.50= 375000

STEP 3- 85800*10= 8,58,000

RATIO OF 600000: 375000=8:5

STEP 4 = 858000*8/13=528000
 In the Books of VIOLA Ltd
JOURNAL
Particulars L.F.
REALISATION A/C DR
TO REAL ESTATE ACCOUNT
TO BUILDING ACCOUNTA/C
TO PLANT AND MACHINERY ACCOUNT A/C
TOEQUIPMENT 'SA/C
TO ACCOUNT RECEIVABLES A/C
TO INVENTORIES A/C
TO DEBTORS A/C
TO CASH A/C
( BEING THE ASSEST TRANSFERRED TO THE REALISATION ACCOUNT)

CREDITORS A/C DR
TO REALISATION
( BEING LIABILITES TRANSFERRED TO THE REALISATION ACCOUNT)

SHARE CAPITAL A/C DR

RESERVES AND SURPLUS A/C DR
PROFIT AND LOSS A/C DR
TO SUNDRY EQUITY SHAREHOLDERS
( BEING THE SHARE CAPITAL, RESERVES AND SURPLUS AND PROFIT AND LOSS TRANSFER
ED TO THE SUNDRY SHAREHOLDERS ACCOUNT)

ZENOBIA LTD A/C DR

TO REALISATION A/C
( BEING THE PURCHASE CONSIDERATION DUE FROM Z LTD)

SUNDRY EQUITY SHAREHOLDERS A/C DR

TO REALISATION A/C
( BEING LOSS ON REALISATION INCURRED)

SHARES IN Z LTD A/C DR

TO ZENOBIA LTD A/C
( BEING THE PURCHASE CONSIDERATION RECEIVED FROM Z LTD )
SUNDRY EQUITY SHAREHODLERS A/C DR
TO SHARES OF Z LTD A/C
( BEING THE DISTRIBUTION OF SHARES IN Z LTD AMONG THE EXISTING SHAREHOLDERS)

Working Notes

STEP 1- VIOLA LTD 24000* 15= 3600000

YARROW LTD- 30000*10= 3,00,000

STEP 2- VIOLA LTD 24000*25= 600000

YARROW LTD = 30000* 12.50= 375000

STEP 3- 85800*10= 8,58,000

RATIO OF 600000: 375000=8:5

STEP 4 = 858000*8/13=528000
 In the Bo

Amount (Dr.) Amount (Cr.) Date

660,000
288000
90000
30,000
12000
10000
80000
30000
120000

90000
90000

360000
180,000
30,000
570000

528,000
528000

42000
42000

528000
528000
528000
528000

STEP 1- VIOLA LTD 24000* 15= 36

YARROW LTD- 30000*10= 3,00

STEP 2- VIOLA LTD 24000*25= 60

YARROW LTD = 30000* 12.50= 3

STEP 3- 85800*10= 8,58,000

RATIO OF 600000: 375000=8

STEP 4 = 858000*5/13=3,30,0
 In the Books of YARROW Ltd
JOURNAL
Particulars L.F.
REALISATION A/C DR
TO REAL ESTATE ACCOUNT
TO BUILDING ACCOUNTA/C
TO PLANT AND MACHINERY ACCOUNT A/C
TOEQUIPMENT 'SA/C
TO ACCOUNT RECEIVABLES A/C
TO INVENTORIES A/C
TO DEBTORS A/C
TO CASH A/C
( BEING THE ASSEST TRANSFERRED TO THE REALISATION ACCOUNT)

CREDITORS A/C DR
TO REALISATION
( BEING LIABILITES TRANSFERRED TO THE REALISATION ACCOUNT)

SHARE CAPITAL A/C DR

RESERVES AND SURPLUS A/C DR
PROFIT AND LOSS A/C DR
TO SUNDRY EQUITY SHAREHOLDERS
( BEING THE SHARE CAPITAL, RESERVES AND SURPLUS AND PROFIT AND LOSS TRANSFER
ED TO THE SUNDRY SHAREHOLDERS ACCOUNT)

ZENOBIA LTD A/C DR

TO REALISATION A/C
( BEING THE PURCHASE CONSIDERATION DUE FROM Z LTD)

SUNDRY EQUITY SHAREHOLDERS A/C DR

TO REALISATION A/C
( BEING LOSS ON REALISATION INCURRED)

SHARES IN Z LTD A/C DR

TO Z LTD A/C
( BEING THE PURCHASE CONSIDERATION RECEIVED FROM Z LTD )
SUNDRY EQUITY SHAREHODLERS A/C DR
TO SHARES OF Z LTD A/C
( BEING THE DISTRIBUTION OF SHARES IN Z LTD AMONG THE EXISTING SHAREHOLDERS)

Working Notes

STEP 1- VIOLA LTD 24000* 15= 3600000

YARROW LTD- 30000*10= 3,00,000

STEP 2- VIOLA LTD 24000*25= 600000

YARROW LTD = 30000* 12.50= 375000

STEP 3- 85800*10= 8,58,000

RATIO OF 600000: 375000=8:5

STEP 4 = 858000*5/13=3,30,000
d In the

Amount (Dr.) Amount (Cr.) Date

540,000
276000
60000
18,000
6000
5000
40000
75000
60000

30000
30000

300000
150,000
60,000
510000

330,000
330000

180000
180000

330000
330000
330000
330000
 In the Books of ZENOBIA Ltd
JOURNAL
Particulars L.F.
BUSINESS PURCHASES A/C
TO LIQUIDATION OF VIOLA LTD

( BEING THE AMOUNT PAYBALE TO THE X LTD AS PER AGREEMENT)

REAL ESTATE ACCOUNT
BUILDING ACCOUNTA/C
PLANT AND MACHINERY ACCOUNT A/C
EQUIPMENT 'SA/C
ACCOUNT RECEIVABLES A/C
INVENTORIES A/C
DEBTORS A/C
CASH A/C
TO CREDITORS A/C
TO BUSINESS PURCHASE A/C
TO RESERVE A/C
( BEING THE DIFFERENT ASSEST AND LIABILITES TAKEN OVER AND THE DIFFERENCE B/W
SHARE CAPITAL ISSUE AND AMOUNT OF SHARE CAPITAL OF X ADJUSTED AGAINST RESERVE

LIQUIDATORS OF VIOLA LTD

TO EQUITY SAHRE CAPITAL A/C
( BEING THE ISSUE OF SHARES AGAINST PURCHASE CONSIDERATION )

BUSINESS PURCHASES A/C DR

TO LIQUIDATION OF YARROW LTD

( BEING THE AMOUNT PAYBALE TO THE X LTD AS PER AGREEMENT)

REAL ESTATE ACCOUNT
BUILDING ACCOUNTA/C
PLANT AND MACHINERY ACCOUNT A/C
EQUIPMENT 'SA/C
ACCOUNT RECEIVABLES A/C
INVENTORIES A/C
DEBTORS A/C
CASH A/C
TO CREDITORS A/C
TO BUSINESS PURCHASE A/C
TO RESERVE A/C
( BEING THE DIFFERENT ASSEST AND LIABILITES TAKEN OVER AND THE DIFFERENCE B/W
SHARE CAPITAL ISSUE AND AMOUNT OF SHARE CAPITAL OF X ADJUSTED AGAINST RESERVE
LIQUIDATORS OF Y LTD
TO EQUITY SAHRE CAPITAL A/C
( BEING THE ISSUE OF SHARES AGAINST PURCHASE CONSIDERATION )

CREDITORS A/C DR
TO CASH AND BANK A/C
( BEING CREDITORS PAID IN FULL )

Working Notes
Amount (Dr.) Amount (Cr.)
528,000
528000

288000
90000
30,000
12,000
10,000
80,000
30,000
120000
90000
528000
42000

528,000
528000

330000
330000

276000
60000
18000
6,000
5,000
40,000
75,000
60000
30000
330000
330000
330000

120000
120000
 S
Statement of Liabili
Creditors outstanding on the date of such
P Q
transfer
Date Rs. Rs. Rs. Rs.
July 20, 2020 40,000 40,000 12,000 15,000
September 15, 2020 73,600 33,600 * 18,000
November 14, 2020 84,000 10,400 * *
February 9, 2021 88,000 4,000 * *
Total (a) 12,000 33,000
No.of Shares held 9600 12,000
Maximum Liability on Shares held (b) 38,400 48,000
Amount Paid - Lower of (a) or (b) 12,000 33,000
Work
A has transferred his shares prior to financial year prec

The amount of ₹40,000 on July 20,2020 will be contributed

P's share=40,000/40*12=12,000, Q's share= 40,00

Step 1

The further amount of ₹33,600 will be contribu

Q's share= 33,600/28*15=18,000

Step 2

The further amount of ₹10,400 will be contr

R's share= 10,40

Step 3
Step 3

The furthe
Since, S's total liability will be ₹19,00
The loss of ₹3
Therefore, ₹16,000-₹15,000= ₹1000

Step 4
 Solution
Statement of Liability of B List Contributories

R S

Rs. Rs.
8000 5000
9600 6000
6400 4000
* 4,000
24,000 19,000
6400 4000
25,600 16,000
24,000 16,000
Working Notes
r to financial year preceeding the date of winding up. Thus, A will not pay anything

20 will be contributed by P, Q, R and S in the ratio of no. of shares held by them i.e., 9600:12,000:64
12:15:8:5
000, Q's share= 40,000/40*15= 15,000, R's share= 40,000/40*8=8000, S's share=40,000/40*5=50

33,600 will be contributed by Q, R and S in the ratio of 15:8:5 as per the no. of shares held by them
33,600/28*15=18,000, R's share= 33,600/28*8= 9600, S's share= 33,600/28*5=6000

f ₹10,400 will be contributed by R and S in the ratio of 8:5 as per the no. of shares held by them
R's share= 10,400/13*8= 6400, S's share= 10,400/13*5=4000
 The further amount of ₹4000 will only be borne by S
liability will be ₹19,000 but he will be called upon to pay ₹16,000 only (4000*4= ₹16,000)
The loss of ₹3000 will have to be suffered by the creditors
000-₹15,000= ₹1000 will be paid by S for the amount due to creditors on February 9, 2021
ution
of B List Contributories

Amount to be paid to creditors

Rs.
40,000
33,600
10,400
1000
*
*
*
85,000
ng Notes
eding the date of winding up. Thus, A will not pay anything

y P, Q, R and S in the ratio of no. of shares held by them i.e., 9600:12,000:6400:4000 or

12:15:8:5
/40*15= 15,000, R's share= 40,000/40*8=8000, S's share=40,000/40*5=5000

d by Q, R and S in the ratio of 15:8:5 as per the no. of shares held by them
R's share= 33,600/28*8= 9600, S's share= 33,600/28*5=6000

uted by R and S in the ratio of 8:5 as per the no. of shares held by them
/13*8= 6400, S's share= 10,400/13*5=4000
amount of ₹4000 will only be borne by S
but he will be called upon to pay ₹16,000 only (4000*4= ₹16,000)
00 will have to be suffered by the creditors
ll be paid by S for the amount due to creditors on February 9, 2021
 In the Books of ABC Lt
JOURNAL
Date
 STATEMENT SHOWING A

Name of Allott
David
Samara
Jake
Fred
Kerry
 In the Books of ABC Ltd.
JOURNAL
Particulars
Bank a/c Dr.
To Equity share application a/c
(being application money received on 1,20,000 share @ 10/- per share)

Equity share application a/c Dr.

To Share capital a/c

( being application money on 1,20,000@10/- per share to share capital)

Equity share allotment a/c Dr.

To Share capital a/c

(being allotment money on 1,20,000@10/- made due)

Bank a/c Dr.

Calls in arrears a/c Dr.
To Equity share allotment a/c
( being application money recieved on 1,17,600 shares @ 10/- per share)

Equity share 1st call a/c Dr.

To Share capital a/c
( being share 1st call made due on 1,20,000 shares @ 15/- per share)

Bank a/c Dr.

Calls in arrears a/c Dr.
To Equity share 1st call a/c
( being share 1st call money received on 1,15,920 shares @ 15/- per share)

Equity share 2nd call a/c Dr.

 To Share capital a/c
( being share 2nd call made due on 1,20,000 shares @ 15/- per share)

Bank a/c Dr.

Calls in arrears a/c Dr.
To equity share 2nd call a/c
( being share 2nd call money received on 1,15,560 shares @ 15/- per share)

Share capital a/c Dr.

To Calls in arrears a/c
To Share forfeiture a/c
( being 4,440 shares forfeited on non-payment on allotment and both calls)

STATEMENT SHOWING AMOUNT RECEIVED

No. of Shares
1800
1200
1080
300
180
L.F. Amount (Dr.) Amount (Cr.)
1,200,000
1,200,000

1,200,000
1,200,000

1,200,000
1,200,000

1,176,000
24,000
1200000

1,800,000
1800000

1,738,800
61,200
1800000

1,800,000
 1800000

1,733,400
66,600
1,800,000

222,000
151,800
70,200

CEIVED AND CALLS-IN-ARREARS ON FORFEITED SHARES

Share Application Rs. Share Allotment Rs. Share First Call Rs.
Due Received Arrear Due ReceivedArrear Due Recieved
18,000 18,000 NIL 18,000 NIL 18,000 27,000 NIL
12,000 12,000 NIL 12,000 6,000 6000 18,000 NIL
10,800 10,800 NIL 10,800 10,800 NIL 16,200 NIL
3,000 3000 NIL 3000 3000 NIL 4,500 4500
1,800 1800 NIL 1800 1800 NIL 2,700 2700
e First Call Rs. Share Second & Final Call Rs.
Arrear Due ReceivedArrear
27,000 27,000 NIL 27,000
18,000 18,000 NIL 18,000
16,200 16,200 NIL 16,200
NIL 4500 NIL 4500
NIL 2700 1,800 900