4. {at XYZ Issued Rs. 4.80.000 4% redeemable preference shares on 1st April 20X5 at par. Interest is paid annually in arrears, the rst payment of interest amounting Rs. 19,200 was made on 31't March ZDXS and it is debited directly to retained earnings by accountant. The preference shares are redeemable for a cash amount of Rs. 1.20.000 on 31llt March 203(8. The effective rate cf interest on the redeemable preference shares is 18% per annum. The proceeds of the issue have been recorded within equity by accountant as this reflects the legal nature of the shares. Board of directors Intends to issue new equity shares over the next two years to build up cash resources to redeem the preference shares. Mukesh, Accounts manager of XYZ has been told to review the accounting of aforesaid Issue. CFO has asked from Mukesh the closing balance of preference shares at the year end. If you were Mukesh, then how much balance you would have shown to CFO on analysis of the stated issue. Prepare necessary adjustingjournal entry in the books of account. if required. Analyze