Mr. Prem is appointed liquidator of X Ltd in voluntary liquidation on 1 December 2010. Following balances are extracted from the books on that date:
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Liabilities
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Assets
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|
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Share Capital:
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Machinery
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1,80,000
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96,000 Shares of
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4,80,000
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Leasehold
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2,40,000
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Z 5 Each
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Properties
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Reserve for Bad
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60,000
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Stock in Trade
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6,000
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debts
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Book Debts
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3,60,000
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Debentures
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3,00,000
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Investments
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36,000
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Bank Overdraft
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1,08,000
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Calls-in-Arrear
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30,000
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Liabilities for
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1,20,000
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Cash In Hand
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6,000
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Purchases
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Profit & Loss A/c
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2,10,000
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10,68,000
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10,68,000
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Prepare a statement of affairs to be submitted in the meeting of the credito$ The following assets are valued as follows:
Machinery: $3,60,000; Leasehold properties: $4,36,000; Investments: $24,000; Stock in trade: $12,000; Bad debts: - $12,000 and doubtful debts: $24,000 which are estimated to realize $12,000. The bank overdraft is secured by deposit of title deeds of leasehold properties. Preferential creditors are $6,000. Telephone rent outstanding is $480.