do it in advance accounting

Q#7 Capital Reduction scheme The following is the balance sheet of Pakistan Van co ltd on 31" march 2015: Authorized share capital Leasehold premises 10,000 pref. Shares of Rs.100 1,000,000 Plant and machinery 10,000 ord. Shares of Rs.100 1.000.000 Patent at cost Subscribed share capital Stock in trade 7,500 pref. Shares of 100 each 750,000 Sundry debtors 130,800 42,200 850,000 55.000 76,500 5,000 ordinary shares of Rs.100 500,000 Cash in hand 12,500 Sundry creditors 30,000 Discount on issue of shares 18,000 Short term running finance 20,000 Profit&loss account 115.000 1,300,000 1,300,000 The co suffered losses and was not getting well. The following scheme of reconstruction was approved in EGM i. The preference shares to be reduced to an equal number of fully paid shares of Rs.50 each. ii. The ordinary shares to be reduced to an equal number of shares of Rs.25 cach. iii. Sundry creditors has given the option either to opt accept 50% cash in full settlement or to receive ordinary shares in full. Creditors of worth Rs.20,000 accept cash. iv. The amount available be used to write off Rs.30,800 of the leasehold premises, Rs.15,000 of stock, 20% of plant and machinery and sundry debtors and the balance available off patents. REQUIRED: In accordance with section 96 to 108 of companies ordinance 1984, Journalize the transactions and prepare the balance sheet after the reconstruction