BALANCE SHEET

as on $31$st December, $2019$

I. Equity and Liabilities

$(1)$ Shareholders' Funds

Share Capital :

$($i$)2,000$ Equity Shares of $100$ each fully paid

$($ii$)3,000$ Equity Shares of $100$ each, $50$ per share paid

$($iii$)1,0006\%$ Preference Shares of $100$ each

$(2)$ Non$-$current Liabilities

$($i$)6\%$ Debentures $($Floating charge on all assets$)$

$($ii$)$ Loan on Mortgage of Land & Building

$(3)$ Current Liabilities

$($i$)$ Sundry Creditors.

$($ii$)$ Income Tax Payable

II$.$ Assets

$(1)$ Non$-$current Assets

$($a$)$ Land & Building

$($b$)$ Plant & Machinery

$(2)$ Current Assets

$($a$)$ Stock

$($b$)$ Debtors

$($c$)$ Cash at Bank

The company went into liquidation on $1$st January, $2020.$

The preference dividends were in arrear for three years. The arrears are payable on

liquidation.

The assets were realised as follows : Land and Building $2,40,000$; Plant and

Machinery $1,80,000$; Stock $70,000$ ; Debtors $60,000.$

The expenses of liquidation amounted to $8,000.$

The liquidator is entitled to a commission at $2\%$ on all assets realised except cash at

bank and $3\%$ on amounts distributed to unsecured creditors.

All payments were made on $30$ th June, $2020.$

Prepare Liquidator's Statement of Account.

Ans.$-[$Equity shareholders get : On $2,000$ shares @ $57\mathrm{.}40$ and on $3,000$ shares @ $7\mathrm{.}40].$