tsgrewalSolution25-26 - commercemine

Question 41:

Goodluck Ltd purchased machinery costing ₹10,00,000 from Fair Deals Ltd. The company paid the price by issue of Equity Shares of ₹10 each at a premium of 25%.
Pass necessary Journal entries for the above transactions in the books of Goodluck Ltd.

Answer:

Books Goodluck Ltd. Journal
Date	Particulars			L.F.	Debit Amount ₹	Credit Amount ₹

	Machinery A/c		Dr.		10,00,000
	To Fail Deals Ltd.					10,00,000
	(Machinery purchased from Fair Deals Ltd.)

	Fair Deals Ltd.	Dr.			10,00,000
	To Equity Share Capital A/c					8,00,000
	To Securities Premium A/c					2,00,000
	(80,000 equity shares of ₹10 each issued at 25% premium)

Working Note:

Number of shares issued=10,00,000/10+2.5=80,000 shares

Question 42:

Rajan Ltd . purchased assets from Geeta & Co . for ₹5,00,000. A sum of ₹1,00,000 was paid by means of a bank draft and for the balance due Rajan Ltd. issued equity Shares of ₹10 each at a premium of 25%. journalise the above transactions in the books of the company.

Answer:

Books of Rajan Limited Journal
Date	Particulars		L.F.	Debit ₹	Credit ₹

	Assets A/c	Dr.		5,00,000
	To Geeta & Co.				5,00,000
	(Assets purchased from Geeta & Co.)

	Geeta & Co.	Dr.		1,00,000
	To Bank A/c				1,00,000
	(Payment made to Geeta & Co.)

	Geeta & Co.	Dr.		4,00,000
	To Equity Share Capital A/c				3,20,000
	To Securities Premium A/c				80,000
	(32,000 equity shares of ₹10 issued at 25% premium)

Working Note-

Number of shares issued=4,00,000/10+2.5=32,000 shares

Question 43:

Sona Ltd. purchased machinery costing ₹17,00,000 from Mona Ltd. Sona Ltd. paid 20% of the amount by cheque and for the balance amount issued Equity Shares of ₹100 each at a premium of 25% . Pass necessary Journal entries for the above transactions in the books of Sona Ltd .Show your working notes clearly.

Answer:

Journal In the Books of Sona Ltd.
Date	Particulars		L.F.	Debit (₹)	Credit (₹)

	Machinery A/c	Dr.		17,00,000
	To Mona Ltd.				17,00,000
	(Machinery purchased on credit from Sona Ltd.)

	Mona Ltd.	Dr.		3,40,000
	To Bank A/c				3,40,000
	(20% amount paid through cheque)

	Mona Ltd. (17,00,000 – 3,40,000)	Dr.		13,60,000
	To Equity Share Capital*				10,88,000
	To Securities Premium A/c*				2,72,000
	(Issued 10,880 shares of ₹100 each to Mona Ltd. at 25% Premium)

Working Notes:

Number of shares = purchase consideration/face value of share+premium=13,60,000/100+25=10,880 shares

Amount of shares capital issued=10,880×100=10,88,000

Amount of securities premium on shares issued=10,88,000×25/100=2,72,000

Question 44:

Surya Ltd. took over assets of ₹40,00,000 and liabilities of ₹7,50,000 of Moon Ltd. Surya Ltd. paid the purchase consideration by issuing 17,600; 10% Preference Shares of ₹100 each at a premium of 25% and ₹12,00,000 by Bank Draft. Calculate purchase consideration and pass the necessary Journal entries in the book of Surya Ltd.

Answer:

Surya Ltd. Journal
Date	Particulars		L.F.	Debit Amount (₹)	Credit Amount (₹)
(i)	Assets A/c	Dr.		40,00,000
	Goodwill A/c	Dr.		1,50,000
	To Sundry Liabilities A/c				7,50,000
	To Moon Ltd.				34,00,000
	(Being Surya Ltd. took over assets of ₹40,00,000 and liabilities of ₹7,50,000 of Moon Ltd, purchase consideration by issuing 17,600; 10% Preference Shares of ₹100 each at a premium of 25% and ₹12,00,000 by Bank Draft)
(ii)	Moon Ltd.	Dr.		34,00,000
	To 10% Preference Share Capital A/c				17,60,000
	(17,600×100)
	To Securities Premium Reserves A/c				4,40,000
	(17,600×25)
	To Bank A/c				12,00,000
	(Being purchase consideration by issuing 17,600; 10% Preference Shares of ₹100 each at a premium of 25% and ₹12,00,000 by Bank Draft)

Ts Grewal Solution 2025-2026

Click below for more Questions

Class 12 / Volume – 2

commercemine

Chapter 9- Company Accounts- Accounting for Share Capital