Page 119 - DCOM205_ACCOUNTING_FOR_COMPANIES_II

Accounting for Companies – II

notes To 7% Preference Shareholders A/c
(Excess paid) 1, 00,000 By Equity Shareholders A/c 40,000
15, 40,000 15, 40,000
7% preference shareholders’ a/c
particulars ` particulars `
To Equity Shares in By 7% Preference Shares
Raman & Co. (2011) Ltd. 4, 00,000 Capital A/c 3, 00,000
By Realisation A/c 1, 00,000
4, 00,000 4, 00,000

equity shareholders’ a/c
particulars ` particulars `
To Realisation A/c 40,000 By Equity Share
Capital A/c 16, 00,000
To P&L A/c 7, 60,000
To Equity Shares in Raman & Co. (2011) Ltd. 8, 00,000
16, 00,000 16, 00,000

Journal of raman & co. (2011) ltd.
Date particulars l.f. ` `
Business Purchase A/c Dr. 12,00,000
To Liquidator of Raman & Co. Ltd. 12,00,000
(Being purchase price due to the liquidator of
Raman & Co. Ltd.)
Fixed Assets A/c Dr. 10,60,000
Cash A/c Dr. 40,000
Goodwill A/c Dr. 4,00,000

To Creditors A/c 1,00,000
To 7% Debentures A/c 2,00,000
To Business Purchase A/c 12,00,000
(Being above-mentioned assets and liabilities taken
over and balance transferred to the goodwill account)
Liquidators of Raman & Co Ltd. Dr. 12,00,000
To Equity Share Capital A/c 12,00,000
(Being purchase consideration paid off into shares)
7% Debentures A/c Dr. 2,00,000
To Equity Share Capital A/c 2,00,000
(Being debentures paid off by the issue of shares)
Bank A/c Dr. 6,00,000
To Equity Shares App. & Allot. A/c 6,00,000
(Being fresh issue of equity shares)

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