Following is the balance sheet of Nisha Ltd., as on 31^st December 2011.

On 1^st January 2012, the company redeemed the preference shares at a premium of 10%. In order to pay-off the preference shareholders, it sold investments realising ₹95,000. All payments were made except to shareholders of 60 shares, who could not be traced.

On 1^st May 2012, the company issued fully paid bonus shares in the ratio of one for every share held on that date.

Draw up the journal entries to record the above transactions and show the balance sheet after redemption.

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Liabilities Share Capital: Authorised: 10,000 8% Redeemable Preference Shares of ₹10 each 20,000 7% Redeemable Preference Shares of 10 each, 5 per share, paid up 20,000 Equity Shares of 10 each Reserves and Surplus: Capital Reserve Securities Premium General Reserve Profit & Loss A/c Current Liabilities 1,00,000 1,00,000 2,00,000 70,000 80,000 60,000 90,000 1,00,000 8,00,000 Assets Fixed Assets Investment Current Assets: Stock Debtors Cash at Bank 4,00,000 1,00,000 40,000 60,000 2,00,000 3,00,000 8,00,000