Sir help me in advance,

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

05 June 2014 shares are allotted,they have given time for call payment to pay after 6 months , in this situation what is the journal entry, then allotted shares where will effect in financial statements,

what they have allotted is it calls in arrears?

thanking you sir/madam

Rajagopalakrishnan R

Rajagopalakrishnan R (Expert)
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05 June 2014 Accounting entry will be passed only on the due date of the call. Till such time the allotted shares will be reflected in the subscribed capital but not in the paid up capital. The call will be in arrears only after the due date of payment. Then, the calls in arrears will be reduced from the paid up capital