Mukund Ltd, invited applications for issuing 50,000 equity shares of ₹10 each at 10% premium. The amount per share was payable as follows: ₹3 on application, ₹3 (including premium) on allotment and balance amount on first and final call. Applications were received for 1,20,000 shares and shares were allotted on pro-rata basis to all the applicants. The excess money received on application was adjusted towards sums due on allotment only. Application money in excess to sums due on allotment was refunded. A shareholder who had applied for 6,000 shares, could not pay the call money and his shares were forfeited.

Pass necessary Journal entries for the above transactions in the books of Mukund Ltd.

Marks-6, CBSE:2022-23/Zone-2/Set-1/Q-25*