Pass Journal entries. Prepare the Balance Sheet of the company.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Balance Sheet
Liabilities
Rs.
Assets
Rs.
Subscribed Capital :
Goodwill
1,00,000
2000 Pref shares of
Land & Building
1,10,000
Rs. 100 each
2,00,000 Plant & Machinery
90,000
3,000 Equity shares of
Stock
80,000
Rs. 100 each
3,00,000 Debtors
90,000
Sundry Creditors
1,00,000 Саsh
10,000
Profit & Loss A/C
1,20,000
6,00,000
6,00,000
Pass Journal entries. Prepare the Balance Sheet of the company.
Transcribed Image Text:Balance Sheet Liabilities Rs. Assets Rs. Subscribed Capital : Goodwill 1,00,000 2000 Pref shares of Land & Building 1,10,000 Rs. 100 each 2,00,000 Plant & Machinery 90,000 3,000 Equity shares of Stock 80,000 Rs. 100 each 3,00,000 Debtors 90,000 Sundry Creditors 1,00,000 Саsh 10,000 Profit & Loss A/C 1,20,000 6,00,000 6,00,000 Pass Journal entries. Prepare the Balance Sheet of the company.
The following scheme of reconstruction is required for B Ltd. :
Write off one half of the subscribed capital by reducing each
Rs. 100 shares both preference and equity share to Rs. 50 per
share.
By Wiping a goodwill and the debit balance of the profit and loss
alc and by writing down Land and Buildings by Rs. 15,000, plant
and machinery by Rs. 10,000 and reserving the balance per Bad
Debts.
Transcribed Image Text:The following scheme of reconstruction is required for B Ltd. : Write off one half of the subscribed capital by reducing each Rs. 100 shares both preference and equity share to Rs. 50 per share. By Wiping a goodwill and the debit balance of the profit and loss alc and by writing down Land and Buildings by Rs. 15,000, plant and machinery by Rs. 10,000 and reserving the balance per Bad Debts.
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