1.

Subscription receivable (50,000*100*40%)

Subscribed Share Capital

2. Cash (2,000,000*25%)
Subscription Receivable

3. Subscribed Share Capital

Original Share Capital

4. Cash (10,000*100*75%)
Subscription Receivable

5. Subscribed Share Capital

Original Share Capital

6. Patent
Original Share Capital (10,000*50)

7. Cash (15,000*120)
Original Share Capital (5,000*50)
2,000,000 Authorised or Registered or Nominal Capital 100,000 shares of P5
2,000,000 Subscribed share capital
Subscription receivable
500,000 Paid up capital (42,000 shares issued)
500,000 Total Shareholders' Equity

500,000
500,000

750,000
750,000

750,000
750,000

500,000
500,000

1,800,000
1,500,000
Capital 100,000 shares of P50 5,000,000
1,725,000
1,500,000 225,000
150,000
5,375,000
1. Unissued share capital 10,000,000
Authorized share capital

2. Subscriptions receivable 2,500,000

Subscribed share capital

3. Cash 625,000
Subscriptions receivable

4. Cash 750,000
Subscriptions receivable

5. Subscribed share capital 1,000,000

Unissued share capital

6. Land 800,000
Building 2,500,000
Unissued share capital
Share premium

7. Loans payable 1,100,000

Interest payable 200,000
Unissued share capital
Share premium
Gain on extinguishment of liability

8. Income summary 3,000,000

Retained earnings
 Authorized share capital
10,000,000 Less: Unissued share capital
Issued share capital
Add: Subscribed share capital
2,500,000 Less: Subscription receivable
Add: Share premiums excess over par
Retained earnings
625,000 Total Shareholder's Equity

750,000

1,000,000

3,000,000
300,000

1,000,000
200,000
100,000

3,000,000
10,000,000
5,000,000
5,000,000
1,500,000
1,125,000 375,000
500,000
3,000,000
8,875,000