126 Illustration 5 M. Ltd. resolved on 31st December 2010 that the company be wound up voluntarily. The following was the trial balance extracted from its books as on that date: Equity shares of 10 each 2,00,000 9% Preference shares of 10 each 1,00,000 Plant (less depreciation wo 785,000) 2,15,000 Stock in trade 2,50,000 Trade receivables 55,000 Trade payables 75,000 Bank balance 74,000 Preliminary Expenses 6,000 Profit & Loss A/c (balance on 1st January, 2010) 30,000 Trading loss for the year 2010 24.000 Preference dividend for the year 2010 6,000 Outstanding Expenses (including mortgage interest) 25,000 4% Mortgage loan 2,00.000 Total 6,30,000 6,30,000 On 1st January, 2011 the liquidator sold to M. Lid. Plant for 72,05,000 and stock in trade for * 2,00,000. The sale was completed in January 2011 and the consideration satisfied as to 72,62,200 in cash and as to the balance in 6% Debentures of the purchasing company issued to the liquidator at a premium of 2% The remaining steps in the liquidation were as follows: (1) The liquidator realised 7 52,000 out of the book debts and the cost of collection amounted to 32,000. (2) The loan mortgage was discharged on 31st January, 2011 along with interest from 31st July, 2010. Creditors were discharged subject to 2% and outstanding expenses excluding mortgage interest were settled for 72.000 (3) On 30th June 2011 six month's interest on debentures was received from M. Ltd. (4) Liquidation expenses amounting to 73,000 and liquidator's remuneration of 3% on disbursements to members were paid on 30th June, 2011 when: (a) The preference shareholders were paid out in cash; and (b) The debentures on M. Ltd. and the balance of cash were distributed ratably among the equity shareholders Prepare the Liquidator's Statement of Account showing the distribution