Page 194 - DCOM205_ACCOUNTING_FOR_COMPANIES_II

Unit 9: Fundamentals of Liquidation of Companies

Contingent Liabilities are: ` notes
For Bills Discounted 1,00,000

For Excise Duty Demands 1,50,000
On investigation, it was found that the contingent liabilities are certain to devolve and that the
assets are likely to be realised follows:
`

Land & Buildings 11,00,000
Other Fixed Assets 18,00,000
Current Assets 35,00,000
Taking the above into account, prepare the Statement of Affairs.
Solution

statement of affairs of insold co. ltd.
as on 30 september, 2010
th
assets estimated realisable value
`
Assets not specifically pledged as per list a
Other fixed assets 18,00,000

Current assets 35,00,000
53,00,000
Assets specifically pledged as per list B
Estimated Due to secured Deficiency Surplus
realisable creditors ranking as carried to last
value unsecured column
` ` ` `

Land & Building 11,00,000 10,00,000 — 1,00,000
11,00,000 10,00,000 — 1,00,000 1,00,000
Estimated total assets available for preferential creditors and unsecured creditors 54,00,000
summary of gross assets
`
Gross realisable value of assets 11,00,000

specifically pledged Other assets 53,00,000
Gross Assets 64,00,000
Gross liabilities Liabilities `
Secured creditors as per list B to the extent claims —
10,00,000 are covered by assets specifically pledged
1,50,000 Preferential creditors as per list c 1,50,000

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