035 120 4 Illustration 6 Extra Ltd. (a non-listed company) furnishes you with the following summarized Balance Sheet as on 31st March, 2012: Rin lakhs) Liabilities Amount Assets Amount Equity shares of 10 each fully 100 Fixed assets less 50 paid depreciation 9% Redeemable preference Investments at cost shares of 100 each fully paid 20 Current assets 142 Capital reserves 8 Revenue reserves 50 Securities premium 60 10% Debentures Current liabilities 70 312 312 The company redeemed the preference shares at a premium of 10% on 14 April, 2012. (1) It also bought back 3 lakhs equity shares of 10 each at 30 per share. The payment for the above was made out of huge bank balances, which appeared as a part of the current assets. (ii) Included in its investment were investments in own debentures" costing * 2 lakhs (face value * 2.20 lakhs). These debentures were cancelled on 16 April, 2012. (iv) The company had 1,00,000 equity stock options outstanding on the above mentioned date, to the employees at 20 when the market price was 30 (This was included under current liabilities). On 1.04.2012 employees exercised their options for 50,000 shares. (V) Pass the journal entries to record the above. (vi) Prepare Balance Sheet as at 01.04.2012