if issue the share capital what is entry pass the journal
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Answer / h.r. sreepada bhagi
When money is received towards Share Application :
Bank A/c Dr.
To Share Application Money A/c.
When Shares are allotted :
Share Application Money A/c Dr.
To Share Capital.
When Shares issued for subscription from the prospective
shareholders, no entry need to be passed in the books.
Entries will start only money starts coming towards issued
shares.
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