Question 1 (20 marks) On 1 July 2018 Jacob Ltd issued a prospectus to the public offerin

Question 1 (20 marks)
On 1 July 2018 Jacob Ltd issued a prospectus to the public offering 10 million shares at $1.50 each. The prospectus specified that $0.60 per share is payable on application and a further $0.40 will be payable on allotment. The closing date for applications was 31 August 2015.
By the closing date, applications have been received for 14 million shares. To deal with the oversubscription, the directors of Jacob Ltd decided to issue shares to all subscribers on a pro rata basis. Excess money received on application will be credited against the amounts due on allotment.
All amounts due on allotment are paid by the due date of 15 September 2018.
On 30 November 2018, Jacob Ltd made the call for the outstanding balance of $0.50 per share with the amounts being payable by 31 December 2018. Holders of 2 million shares fail to pay the amount due of the call by the due date, and on 15 January 2019 the directors forfeited the shares. The forfeited shares were cancelled and reissued on 15 February 2019 as fully paid to $1.50 on payment of $1.20 per share. The reissue of the forfeited shares cost $6 000. The balance in the forfeited shares account were refunded to the forfeited shareholders by 28 February 2019.
Prepare general journal entries to record the above transactions. Show all workings.







Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more

Enjoy 10% OFF today with the coupon code: best10