Q$1)$ The balance sheet os Pant Lid $($Afteupt Auf $2)$

The capital reduction scheme, approved by the Court is as follows:

$$to each of equat amolint for the temaung amount of $50$

$(4)$ The value of all preference hares inchuing the preference shares given to debearuses as thown

above is to be reduced to $6$ and dividend rate is to be increased up to $12\%$

$($ti$)$ The value of equity shares is to be reduced to $\text{'}22$ e$$ch

off the Bani: overdrat

$($t$)$ All fictions and uataigble assets are to be written off and machmery and furuture are to be written

off m proportion of book: values, wath the kelp of general reserve and capital reduction account.

If was decided that on that date, Basu Lid will talke over the business of Vasu Ltd ou the bast of

the respective thare value, adjusting, wherever necessary, the book values of as$,$ ats and liabilities on the

strength of the informatiod given below

feveroment of Vasu Lrd$,$ inctuded $4,000$ shares us Basu Ltd$,$ acquired at a cost of $\text{'}150$ per share. The

Crbat usestment of Vasu Lid bave a makket value of Z $1,00\mathrm{.}000.$

$2$ Invertoseat allowance reserve sias in reypect of additions made to fixed astets by Vasu Litd duting the

year $2009-10.$ on which income tax relief has been obtained In term of hoome Tax Act the company

bas se cary forwasd tall $2014,$ resene of $26,00,000$ tor utilization.

Goodmil of Base Led and Vasu Lrd are to be taken at $$1\mathrm{.}600$ thourand and $2800$ thomand

respectively.

$4$ The market valus of investment of Basu Ltd was & $800$ thousand.

aormally sold goods at a profic of $250$ s ower cout

$6$ Fixed assets of Basu Lid of Wast Lid ate valued at $2\mathrm{.}000$ thousand and $$3,000$ thousand

tespectively.