Discount allowed on reissue of forfeited shares is debited to
Discount allowed on reissue of forfeited shares is debited to
Solution
✅ Correct Option: 2
On reissue below face value, the shortfall is met out of the amount already forfeited on those shares. Hence Share Forfeiture A/c is debited with the discount, and only the residual balance goes to Capital Reserve.
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