Q2. Consider the following draft Balance sheet of X Ltd as on 31" March 2011. Liabilities Shs.000 Assets Shs.000 Share capital: Land and Building 5,000 Equity shares of shs. 10 each 7,500 14%prefence shares 2,500 Plant and machines 4,500 General Reserve 1,250 Furniture 1,050 12% Debentures 4,000 Investments 500 Trade payables and 2,000 Trade Debtors 2400 other current liabilities Inventory 2,300 Cash and bank balance 1500 17.250 17,250 Other information i. New X Ltd was formed to take over the business of X ltd on 10th April 2011. ii. Debenture holders of X Ltd are discharged by New X Ltd at 10% premium by issuing 15% own debentures of New X Ltd. iii. 14% preference shareholders of X Ltd are discharged at a premium of 20% by issuing necessary number of 15% preference shares of New X Ltd (Face value shs. 100 each) iv. Intrinsic value per share of X Ltd is 20 and that of New X Ltd shs.30. New X Ltd will issue equity shares to satisfy the equity shareholders of X Ltd on the basis of intrinsic value. However, the entry should be made at par value only. The nominal value of each equity share of New X Ltd is shs 10 each. Compute the purchase consideration using Net payment method