In case of a forfeiture, they must cancel the shares, and the Share Capital is reduced accordingly. The business does not give back the money it has taken in. The amount in the share forfeiture account is transferred to Paid-Up Capital in the Notes to Accounts on 'Share Capital' until the forfeited shares are reissued.
Answers & Comments
Verified answer
Answer:
In case of a forfeiture, they must cancel the shares, and the Share Capital is reduced accordingly. The business does not give back the money it has taken in. The amount in the share forfeiture account is transferred to Paid-Up Capital in the Notes to Accounts on 'Share Capital' until the forfeited shares are reissued.
Explanation:
please mark as brainliest