17. (a) The Insol Ltd. is to be liquidated. Their summarised Balance sheet as at 30th Sep. 2003 appears as under :
Liabilities Rs. Assets Rs.
2,50,000 equity shares of Land and
each 25,00,000 Buildings 5,00,000
Secured debentures Other fixed
(on Land and Building) 10,00,000 assets 20,00,000
Unsecured loans 20,00,000 Current assets 45,00,000
Trade creditors 35,00,000 P/L A/c 20,00,000
90,00,000 90,00,000
Contingent liabilities are :
For bills discounted 1,00,000
For excise duty demands 1,50,000
On investigation, it is found that the contingent liabilities are certain to devalue and the assets are likely to be realised as follows :
Land and Building 11,00,000
Other fixed assets 18,00,000
Current assets 35,00,000
Taking the above into account, prepare the statement of affairs.