BOYDELL LTD. Liabilities Assets R R Capital authorised Fixed assets 200 000 shares of R1 each Plant & machinery cost R29 312 Issued 120 000 shares @ R1 each 120 000 Deduct deficit on the income statement 30 156 Less: Depreciation 7 638 21 674 Shareholders equity 89 844 Patents & trade Sundry creditors 24 725 Marks at cost 50 750 72 424 Current assets Stock 15 306 Debtors 23 124 Less: Provision for bad debts 1 382 21 742 Bank 227 37 275 Preliminary expenses 4 870 114 569 114 569 A resolution for the voluntary winding up of the company having been passed, X Ltd. took over the assets (except for the bank balance and fictitious assets). X Ltd. agreed to take over the liabilities of Boydell Ltd. and to allot to the liquidator 40 000 ordinary shares of R1 each. Show the journal entries in the books of S Ltd., recording the above arrangements