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8 Views • Jan 2, 2025 • Click to toggle off description
Welcome to Commerce Shruti! In this video, we’ll dive into the concept of Pro Rata Allotment of Shares, an important aspect of the issue of shares in Class 12 Accounting.
When a company receives applications for shares exceeding the number available for allotment, it uses the pro rata method to distribute shares proportionately among the applicants. This ensures fair allocation while managing over-subscription effectively.
Key aspects we’ll cover:
What is Pro Rata Allotment?
The meaning and significance of pro rata distribution.
Journal Entries for Pro Rata Allotment
Passing entries for share application money received.
Adjusting excess application money toward allotment or refunds.
Recording share allotment and calls due or received.
By the end of this video, you’ll have a clear understanding of the steps and journal entries required for Pro Rata Allotment of Shares, making this concept simple and practical. Ideal for Class 12 students studying Company Accounts.
#ProRataAllotment
#IssueOfShares
#JournalEntries
#CommerceShruti
#Class12Accounting
#CompanyAccounts
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Genre: Education
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Uploaded At Jan 2, 2025 ^^
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RYD date created : 2025-01-03T01:44:08.10074Z
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