n 1 July 2021, Sydney Ltd issued a prospectus inviting applications for 500,000 ordinary shares, at an issue price of $8, payable $2.00 on application, $4 on allotment, and $2 on future call(s), dates to be determined by the directors. By 1 September 2021, applications were received for 520,000 shares with $2 paid per share. On 6 September 2021, the directors allotted 500,000 shares. Refunds were made to oversubscribed applicants. Share issue costs of $12,400 were also paid on the same date. All the allotment money was received by 1 October. On 1 December 2021, a final call for $2 was made. 480,000 shares call money were received by 4 January 2022. Required: Prepare journal entries to record the above transactions (explanations are not required
n 1 July 2021, Sydney Ltd issued a prospectus inviting applications for 500,000 ordinary shares, at an issue price of $8, payable $2.00 on application, $4 on allotment, and $2 on future call(s), dates to be determined by the directors.
By 1 September 2021, applications were received for 520,000 shares with $2 paid per share.
On 6 September 2021, the directors allotted 500,000 shares. Refunds were made to oversubscribed applicants. Share issue costs of $12,400 were also paid on the same date.
All the allotment money was received by 1 October.
On 1 December 2021, a final call for $2 was made. 480,000 shares call money were received by 4 January 2022.
Required:
Prepare journal entries to record the above transactions (explanations are not required)
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