Distribution to different classes of shareholders  LO8 On 31 May 2020, Termite Ltd went into liquidation. At that date, the equity of Termite Ltd comprised the following. 400 000 preference shares issued for $1 paid to 50c $ 200 000 1 000 000 ordinary shares issued for $1 paid to 80c 800 000 $ 1 000 000 After realising the assets and paying all creditors, the liquidator had $300 000 cash available to distribute to shareholders. Required 1. Prepare a statement detailing the distribution of cash to shareholders assuming the company’s constitution was silent regarding the rights of shareholders upon winding up. 2. Prepare a statement detailing the distribution of cash to shareholders assuming the company’s constitution provides that upon winding up, preference shareholders are preferential as to return of capital.