Annex Ltd. issued 1,00,000 shares of ₹10 each at a premium of 10% to the public for subscription. The whole amount was payable on application. Applications were received for 3,00,000 shares and the board decided to allot shares to all shareholders on pro-rata basis.

Pass necessary journal entries for the above transactions in the books of Annex Ltd.

Marks-3 CBSE:2022-23/Zone-1/Set-1/Q-19*