Questions Insolvency (24 marks) Charlie the Cheap Ltd went into voluntary liquidation on 30 June 2021. Its summarised statement of financial position at that date is as follows: Equity Charlie the Cheap Ltd Statement of Financial Position As at 30 June 2021 Current assets Share capital 48 000 Cash 3 000 Inventory 10 000 13 000 Non-current assets Land 50 000 Total assets 63 000 Current liabilities Payables 15 000 48 000 Net assets 48 000 Total equity All assets realised amounted to $48 000. Payables allowed an $800 discount. Costs of liquidation were $5 000. Required (11) Complete the journal entries to liquidation. The narrations for the journal entries have been provided to you as additional guidance. (11% marks) Record the entries in the Liquidation account, the Liquidators receipts & payments, and the Shareholders distribution account. (12% marks) Journal for your answer to question 4 part (i). Expand the table as needed to contain your answer. Date (Transfer cash) Account (Transfer of carrying amounts) (Realisation of assets) (Record expenses of liquidation) (Record payment of payables & discount) Dr Cr