Prepare the statement on the assumption that disbursements

Reference no: EM13181659

You are asked by a liquidator of a company to prepare a statement of account to be placed before the meeting of the shareholders from the following particulars:

Balance Sheet of the Company as on the Date of Liquidation 1 January 2010

Liabilities		Assets
Share Capital:		Fixed Assets	2,00,000
20,000 Equity	1,60,000	Book Debts	1,50,000
Shares of Rs. 10
Each, Rs. 8 Called
Up
5,000 Preference	35,000	Loss to Date	50,000
Shares of Z 10
Each, Rs. 7 Called
Up
Secured Loan from Banks	75,000
Secured on
Buildings and
Machinery
Trade Creditors	1,30,000
	4,00,000		4,00,000

The assets were realized as follows:

1 April 2010:	Fixed assets: Rs.50,000; Book
	debts: Rs.50,000;
	Expenses paid: Rs.2,000
1 June 2010:	Fixed assets (Final):
	Rs.1,00,000; Book debts;
	Rs.50,000
1 August 2010:	Book debts final payment:
	Rs.25,000

The liquidator is entitled to a commission of 5% on collections from book debts and 2% on the amounts paid to equity shareholders. Prepare the statement on the assumption that disbursements are made in accordance with the law as and when cash is available.

Reference no: EM13181659

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