Poonam Ltd. forfeited $\displaystyle 2,00,000$ equity shares of T $\displaystyle 10$ each issued at a premium of t $\displaystyle 5$ per share for the non - payment of the first call of t $\displaystyle 2$ per share. The second and final call of T $\displaystyle 3$ per share was not yet made. The forfeited shares were reissued at a discount of $\displaystyle 1$ per share fully paid up. Pass necessary journal entries for the above transactions in the books of Poonam Ltd. Also prepare Share Forfeiture Account.

In the books of Poonam Ltd. Journal Date Particulars L.F. Dr. Cr. Amount(₹) Amount(₹) Equity Share Capital A/c Dr. $\displaystyle 14,00,000$ To Shares Forfeited / Forfeiture A/c $\displaystyle 10,00,000$ To Equity Share First Call A/c / $\displaystyle 4,00,000$ To Calls in Arrears A/c ($\displaystyle 2,00,000$ equity shares, ₹$\displaystyle 7$ per share called up, forfeited for non-payment of first call of ₹$\displaystyle 2$ per share) Bank A/c Dr. $\displaystyle 18,00,000$ Shares Forfeited/Forfeiture A/c Dr. $\displaystyle 2,00,000$ To Equity Share Capital A/c $\displaystyle 20,00,000$ ($\displaystyle 2,00,000$ equity shares re-issued at a discount of ₹$\displaystyle 1$ per share, fully paid-up) Shares Forfeited/Forfeiture A/c Dr. $\displaystyle 8,00,000$ To Capital Reserve A/c $\displaystyle 8,00,000$ (Gain on re-issue of shares transferred to capital reserve) Dr. Share Forfeiture/Forfeited A/c Cr. Particulars Amount(₹) Particulars Amount(₹) To Equity Share Capital A/c $\displaystyle 2,00,000$ By Equity Share Capital A/c $\displaystyle 10,00,000$ To Capital Reserve A/c $\displaystyle 8,00,000$ $\displaystyle 10,00,000$ $\displaystyle 10,00,000$