a 35 XIV. Buy back of shares : Illustration - 43 K Ltd. furnishes you with the following Balance Sheet as at 31st March, 2009: (Rs. in Crores) 100 Sources of Funds Share capital: Authorised Issued: 12% redeemable preference shares of Rs. 100 each fully paid Equity shares of Rs. 10 each fully paid Reserves and surplus Capital Reserve Securities Premium Revenue Reserves 75 25 100 15 25 260 30,0 400 Funds employed in: Fixed assets: cost Less: Provision for depreciation Investments at cost (Market value Rs. 400 Cr.) Current assets Less: Current liabilities 100 100 nil 100 340 40 300 400 The company redeemed preference shares on 1 st April 2009. It also bought back 50 lakh equity shares of Rs. 10 each at Rs. 50 share. The payments for the above were made out of the huge bank balances, which appeared as a part of Current assets. You are asked to: iPass journal entries to record the above ii. Prepare Balance Sheet lii. Value equity share on net asset basis