Khyati Ltd. issued a prospectus inviting applications for 80,000 equity shares of Rs. 10 each payable as follows:

2 on application

3 on allotment

2 on first call

3 on final call

Applications were received for 1,20,000 equity shares. It was decided to adjust the excess amount received on account of over subscription till allotment only. Hence allotment was made as under:

(i)To applicants for 20,000 shares – in full

(ii)To applicants for 40,000 shares – 10,000 shares

(iii)To applicants for 60,000 shares – 50,000 shares

Allotment was made and all shareholders except Tammana, who had applied for 2,400 shares out of the group (iii), could not pay allotment money. Her shares were forfeited immediately, after allotment. Another shareholder Chaya ,who was allotted 500 shares out of group (ii), failed to pay first call. 50% of Tamanna’s shares were reissued to Satnaam as Rs. 7 paid up for payment of Rs. 9 per share.

Pass necessary journal entries in the books of Khyati Ltd. for the above transactions by opening calls in arrears and calls in advance account wherever necessary.