On 1 January 2020 Maximus Ltd decided to issue 20 000 shares to the public, payable as follows:
$2 on application
$2 within one month of allotment
$1 for calls due 30 September 2020.
Assuming the issue was fully subscribed and all amounts due were received by 30 June 2020. The balance of the Share Capital account on that date was:

Question

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The balance of the Share Capital account on 30 June 2020 is $80,000. This is because the company has received $2 per share on application, $2 per share within one month of allotment, and $1 per share for calls due 30 September 2020. Therefore, the total amount received per share is $5, and the total amount received for 20,000 shares is $100,000. However, the company has only recognized $80,000 of this amount as revenue, as the calls due 30 September 2020 have not yet been received.

On 1 January 2020 Maximus Ltd Decided to Issue 20