Distribution to different classes of shareholders   LO8 On 30 April 2020, Moth Ltd went into voluntary liquidation. At that date, equity comprised the following. Share capital: 100 000 preference shares issued for $1 and fully paid $ 100 000 220 000 ordinary shares issued for $1 and fully paid 220 000 160 000 ‘A’ ordinary shares issued for $1 and paid to 60c 96 000 20 000 ‘B’ ordinary shares issued for $1 and paid to 50c 10 000 426 000 Retained earnings (accumulated losses) (256 000) Total equity $ 170 000 The liquidator proceeded to realise all of the company’s assets. The loss on liquidation amounted to $64 000 and, after paying sundry creditors, there was a cash balance of $106 000 available for distribution to the shareholders. (The constitution gives preference shareholders a prior claim to return of capital, and other shareholders are to rank equally, based on the number of shares held.) Required Prepare a statement of the distribution to shareholders supported by a detailed explanation of the apportionment of any cash among the various classes of shareholders.