Which account is debited when adjusting the "Calls in Advance" with the appropriate call money due?

Calls in Advance Account

The correct answer is option 4- Calls in Advance Account.

When adjusting the "Calls in Advance" with the appropriate call money due, the correct account to debit is the Calls in Advance Account.

Sometimes shareholders pay a part or the whole of the amount of the calls not yet made. The amount so received from the shareholders is known as “Calls in Advance”. The amount received in advance is a liability of the company and should be credited to ‘Call in Advance Account.” The amount received will be adjusted towards the payment of calls as and when they becomes due. The following journal entry is recorded for the amount of calls received in advance-
Bank A/c
     To Calls in Advance A/c
(Amount received on call in advance)

On the due date of the calls, the amount of ‘Calls in Advance’ is adjusted by the following entry :
Calls in Advance A/c Dr.
        To Particular Call A/c
(Calls in advance adjusted with the call money due)

The balance in ‘Calls in Advance’ account is shown as a separate item under the title Equity and Liabilities in the company’s balance sheet under the head ‘current liabilities’, as sub-head ‘others current liabilities’. It is not added to the amount of paid-up capital. As ‘Calls in Advance’ is a liability of the company, it is under obligation, if provided by the Articles, to pay interest on such amount from the date of its receipt up to the date when appropriate call is due for payment. A stipulation is generally made in the Articles regarding the rate at which interest is payable. However, if Articles are silent on this account, Table F is applicable which provides for interest on calls in advance at a rate not exceeding 12% per annum.