X a shareholder holding 40 shares was unable to pay ₹2 on first call, but paid the whole amount on second and final call which is ₹3. If the company opened calls in Arrear account what should be the journal entry for cash received on second and final call?

Bank A/c Dr.         200
      To share second and final A/c      120
      To Calls in Arrear A/c                   80

The correct answer is Option - (1)
Bank A/c Dr.         200
      To share second and final A/c      120
      To Calls in Arrear A/c                   80

Journal entry in case of non failure of first call-
Calls in arrear A/c Dr. ₹80 (40 x 2)
    To Share First Call A/c   ₹80 (40 x 2)

Journal entry for receiving of second call & calls in arrear-
Bank A/c Dr. ₹200 (40 x 5)
       To Calls in arrear  ₹80
      To Share Second Call A/c ₹120 (40 x 3)