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Instruction: All the solutions must be completed by the Microsoft Excel program and all the calculations should be performed by excel functions. All the solutions
Instruction: All the solutions must be completed by the Microsoft Excel program and all the calculations should be performed by excel functions. All the solutions will be in a single excel file in separate sheets. A hand-written pdf copy is also necessary to submit along with the excel file.
The summarised Balance Sheets of A Ltd and B Ltd as at 1st April, 2018 are as under : Balance Sheets of A Ltd. and B Ltd. as at 1st April, 2018 Notes to Accounts : (1) Share Capital The above two companies agree to amalgamate and form a new company ABL d on the following conditions: 1. ABL td will take over all the assets and liabilities of AL td and BL td. 2. The entire purchase consideration will be satisfied by the issue of 28,600 equity shares of 10 each of AB Ltd. 3. For the purpose of amalgamation, the value of each equity share is agreed at 25 and 12.50 for A Ltd and B Lid respectively. 4. The creditors are to be paid off by AB Ltd. You are required to : (i) Pass journal entries to close the books of A Ltd and B Ltd.; (ii) Pass journal entries in the books of AB Ltd; and (iii) Prepare the Balance Sheet of AB LtdStep by Step Solution
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