6.3: Yam Bhd. Trial Balance Debit Credit RM RM Ordinary shares of RM1 each 700,000 8% preference share of RM1 each 300,000 Accumulated loss 600,000 Intangibles 50,000 Trade receivables 55,000 Trade payables 75,000 Land and building 200,000 Plant and machinery 180,000 Inventroeis 63,000 Bills payable 20,000 Bank 55,000 Calls in arrears (on 10,000 ordinary shares, 25 sen each) 2,500 1, 150,50 1,150,00 0 The authorised capital of Yam Bhd consists of 1,000,000 ordinary shares of RM1 each and 500,000 8% preference shares of RM1 each. 700,000 ordinary shares have been issued and fully called up. The calls in arrears of 25 sen per share on 10,000 have not been received. It was resolved to carry out the following scheme of capital reduction after all the statutory requirements were fulfilled: 1. To forfeit and cancel the 10,000 shares which are not fully paid up 2. To reduce the ordinary shares to 10 sen per share and then to consolidate the reduced ordinary shares into RM1 ordinary shares. 3. The preference shareholders to accept 250,000 ordinary shares of RM1 each in exchange for the 8% preference shares. 4. To write off the accumulated loss 5. The following asset were valued as to : RM Land and building 216,500 Plant and machinery 130,000 Intangilbe 20,000 Inventories 50,000 Trade Receivables 53,000 6. The authorised capital to be restored to RM1,500,000 in ordinary shares of RM1 each. Required: a) Show the journal entries necessary to the above transactions in the company's books, and