Corporate Liquidation The liquidator was paid remuneration of 3% on amount realized and 2%

on amount paid to unsecured creditors.

(1) A. Ltd. Company with a capital of 8,000 equity shares of Rs.100 each fully The liquidator made a call of Rs.15 per share on partly paid shares. All
called up and 2,000, 7% preference shares of Rs.100 each went into liquidation. shareholders paid the call money except of one shareholders holding 500
There was a calls in arrear of Rs.30,000 in equity share capital. shares.
The creditors of the company were: Required: Liquidator’s final statement of account
Secured creditors Rs.1,00,000
Preferential creditors Rs.40,000 (4) The capital structure of a company was as below:
Unsecured creditors Rs,2,50,000 Equity share capital of Rs.100 each, Rs.90 called up 3,60,000
The amount of assets realized Rs.6,50,000 and the liquidation expenses Less : Calls in arrear 20,000
amounted to Rs.18,000. The liquidator was entitled to remunerations of 2% 3,40,000
each on assets realized and amount distributed to equity shareholders. Add: Calls in advance 30,000
Required: Liquidator’s final statement of account 3,70,000
8% Debentures Rs.1,50,000
(2) XYZ Ltd. Company with a paid up capital of 3,000 ‘A’ Equity shares of 6% Preference Share Rs.1,00,000
Rs.100 each fully paid and 2,000 ‘B’ Equity shares of Rs.100 each Rs.80 Other information:
called and paid up went into voluntary liquidation. The company also had -Amount of Secured creditors Rs.50,000 and Preferential creditors
1,000 , 10% Preference shares of Rs.100 each and 2,000 , 8% Debentures of Rs.20,000.
Rs.100 each. -Total assets realized by liquidator Rs.4,00,000 including assets of Rs.
The creditors of the company consists of Rs.25,000 for Preferential 70,000 in hands of secured creditors.
creditors, Rs.1,20,000 for Unsecured creditors and Rs,80,000 for Secured -Liquidation cost Rs.20,000 and total remuneration received by liquidator
creditors. The assets of the company realized for Rs.520,000. The Rs.11,000 being 2% on assets realized and 4% on amount paid to
liquidator was entitled to a commission of 2% on assets realized and 3% unsecured creditors.
on amount distributed to unsecured creditors. There was Preference -Interest on debenture payable for 6 months.
dividend in arrear for one years. Required: Liquidator’s final statement of account
Required: Liquidator’s final statement of account
(5) The following information are given below:
(3) Balance Sheet of ABC Ltd. Company has been given below: Equity share capital of Rs.100 each Rs.4,00,000
Capital & Liabilities Amount Assets Amount 12% Preference share Rs.1,00,000
Equity share capital: Land and building 3,00,000 8% Debenture Rs.1,80,000
4,000 shares of Rs.100 Plant and machinery 2,00,000 Creditors secured by Land & building Rs.1,00,000
each, Rs.85 called up 3,40,000 Stock 1,20,000 Other liabilities Rs.2,50,000
10% Preference share 1,50,000 Account receivable 2,30,000 Legal expenses Rs.20,000
10% Debentures 1,00,000 Cash at bank 30,000 Liquidator’s remuneration 4% on assets realized and
Account payable 2,00,000 2% on amount paid to unsecured creditors
Secured creditors 70,000 Total assets realized by liquidator Rs.5,30,000 excluding Rs.70,000
Debenture interest payable 20,000 From sales of land & building in hands of secured creditors.
8,80,000 8,80,000 Required: Liquidator’s final statement of account
Total assets realized excluding cash Rs.4,70,000.
(6) The Balance Sheet of a liquidated company has been given below:
Capital & Liabilities Amount Assets Amount
Share capital: Land & Building 1,50,000
20,000 Equity Share’A’@ Plant & Machine 60,000
Rs.10 each 2,00,000 Stock 80,000
10,000EquityShares‘B’@Rs.10 Debtors 30,000
each Rs.7 paid 70,000 Bank balance 50,000
6% Preference Share 50,000 P/L account 1,00,000
Secured loan (secured by plant
& machine) 50,000
Bank overdraft 90,000
Salary payable 10,000
4,70,000 4,70,000
-The liquidator realized the assets as follows:
Land & Building Rs.1,20,000
Plant & Machine Rs.40,000
Stock and debtors @ 90%
-The liquidator is entitled to a commission of 3% on assets realized
including cash and 2% on amount distributed to equity shareholders.
-The dividend of preference share arrear for one year.
Required: Liquidator’s final statement of account
(7) The following information are given below:
Equity share capital of Rs.100 each Rs.4,00,000
12% Preference share Rs.1,00,000
8% Debenture Rs.1,80,000
Creditors (secured by Land & building) Rs.1,00,000
Other liabilities Rs.2,50,000
Legal expenses Rs.20,000
Liquidator’s remuneration 4% on assets realized and
2% on amount paid to unsecured creditors
Total assets realized by liquidator Rs.5,30,000 excluding Rs.70,000
From sales of land & building in hands of secured creditors.
Required: Liquidator’s final statement of account