A Ltd. acquired 1,600 Equity Shares of ₹ 100 each in B Ltd. on 31.12.2015. The summarised Balance Sheets of A Ltd. and B Ltd. as on that date were as under:

You are also supplied the following information:
(i) B Ltd. had made a bonus issue on 31.12.2015, of one Equity Share for every two shares held by its shareholders. Effect has yet to be given in the accounts for this issue.
(ii) The Directors are advised that Land and Building of B Ltd. are undervalued by ₹ 20,000 and the Plant and Machinery of B Ltd. overvalued by ₹ 10,000. Value of these assets have to be adjusted accordingly.
(iii) Sundry Creditors of A Ltd. include ₹ 12,000 due to B Ltd. You are required to prepare the Consolidated Balance Sheet as at 31.12.2015.

Transcribed Image Text:

Balance Sheets of A Ltd. and B Ltd. as at 31st December, 2015 A Ltd. (₹) (3) I. EQUITY AND LIABILITIES (1) Shareholders' Funds: Particulars (1) (a) Share Capital --- 5,000 Equity Share of 2,000 Equity Shares of (b) Reserves and Surplus: Capital Reserve General Reserve TOTAL II. ASSETS (1) Non-current Assets : (a) Fixed Assets 100 each fully paid 100 each fully paid Profit and Loss Account (2) Share Application Money Pending Allotment : (3) Non-current Liabilities: (4) Current Liabilities: (a) Short-term Borrowings ---Loan from Bank (b) Trade Payables -- Sundry Creditors Bills Payable (including 4,000 to A Ltd.) (i) Tangible Assets: Land and Buildings Plant and Machinery (b) Non-current Investments -1,600 Equity Shares in B Ltd. at cost Note No. (2) 5,00,000 2,40,000 57,200 - 80,000 47,100 - 9,24,300 1,50,000 2,40,000 3,40,000 B Ltd. ₹ (4) 2,00,000 1,20,000 - 36,000 - - - 9,000 8,400 3,73,400 1,80,000 1,09,400