BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Share calls account is credited on receipt of the share call money.

Detailed explanation-2: -The excess money that the company receives from the shareholders is termed as calls in advance. Any company accepts calls in advance if authorized by its Articles. The amount thus received has to be credited to the “calls in advance” account. It is treated as a debt until it makes the calls.

Detailed explanation-3: -Bank account is debited on receipt of the share calls money.

Detailed explanation-4: -The premium amount or the amount in excess of par value which is obtained by issuing of shares is credited to a separate account and that account is called as the securities premium account.

Detailed explanation-5: -On Calls. The instalments after the allotment are known as calls, i.e. first call, second call, final call etc. If the shares are not fully paid up at the time of allotment, then several calls can be made until the shares are fully paid up.