122 Total 16,000 Note: 0) Wages or Salaries payable to any employee due for the period not exceeding 4 months within the twelve months next before commencement of winding up subject to maximum 20,000 per claimant are preferential creditors. (ii) Rent for godown is not included in preferential creditors. Illustration 1 X Ltd. was ordered to be wound up on March 31st, 2011 on which date its summarised balance sheet was as follows: Liabilities 3 Assets Subscribed Capital: 10,000 shares of 100 each 10,00.000 Goodwill 1,00,000 5% Debentures 1,60,000 Building 3.50,000 Interest Accrued 4.000 1,64,000 Plant 5.50,000 (Secured by floating Fixtures 23.000 charge on all assets) Stock 38,000 Bank Overdraft 25.000 Debtors 25,000 (Secured by hypothecation of stock) Cash 500 Trade payables 36.000 P&L A/C 1,38,500 Total 12,25,000 Total 12,25,000 The amounts estimated to be realised are: Goodwill 1,000; Building 3,00,000; Plant 75,25,000; Fixtures 7 10,000: Stock 7 31,000; Debtors 720,000. Creditors included 7 6,000 on account of wages of 15 men at * 100 per month for 4 months immediately before the date of winding up : 79,000 being the salaries of 5 employees at 7300 per month for the previous 6 months: Rent for godown for the last six months amounting to 73,000; Income tax deducted out of salaries of employees 71,000 and Directors Fees 7500 Three years ago, the debit balance in the Profit and Loss Account was 77.925 and since that date the accounts of the company have shown the following figures: Year Year Year 31-3-2009 31-3-2010 31-3-2011 3 Gross Profit 65.000 45.000 40.000 Wages and Salaries 40,500 36,000 34.400 Electricity and Water Tax 5.750 6,380 5,260 Debentures interest 8,000 8,000 8.000 Bad Debts 8,540 7,600 6,700 Depreciation 6,700 Directors' Fees 1.000 1,000 1,000 Miscellaneous Expenses 10.500 7.265 7,980 Total 80,990 66.245 63,340 In addition it is estimated that the company would have to pay 5,000 as compensation to an employee for injuries suffered by him which was contingent liability not accepted by the company. Prepare the Statement of Affairs and the Deficiency account in Form 57 of Companies (Court) Rules, 1959