Model: Preference shares On 1 April 2010, H Ltd. acquired 80% equity shares and 30% preference shares of S Ltd. for Rs.3,90,000 and Rs.61,000, respectively, on which date S Ltd.’s general reserve and profit and loss accounts showed balances of Rs.60,000 and Rs.8,000, respectively. On 31 March 2011, the balance sheets of two companies stood as follows:

Liabilities

H Ltd.
Rs.

S Ltd.
Rs.

Assets

H Ltd.
Rs.

S Ltd.
Rs.

Equity Share Capital

20,00,000

4,00,000

Sundry Assets

27,09,000

9,52,000

10% Preference Shares

2,00,000

80% Equity Shares in 5

3,90,000

Capital

General Reserve

6,00,000

80,000

P&L A/c

2,00,000

78,000

30% Preference Shares in S Ltd.

61,000

Creditors

3,60,000

1,94,000

31,60,000

9,52,000

31,60,000

9,52,000

You are required to draw the consolidated balance sheet as at 31 March 2011, assuming that on 1 April 2010, there were no arrears of preference dividend.