The summarized Balance Sheets of A Ltd. and B Ltd. on 1.4.2018 are as under :

On the above date, A Ltd. decided to absorb B Ltd. under the following conditions :

(1) A Ltd. will take over all the assets and liabilities of B Ltd.

(2) The entire purchase consideration will be satisfied by the issue of equity shares of ₹10 each at par of A Ltd.

(3) For the purpose of absorption, the value of each share of B Ltd. was agreed at ₹11.55. You are required to :

(i) Pass journal entries in the books of A Ltd

(ii) Prepare the Balance Sheet of A Ltd. after absorption.

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I. EQUITY AND LIABILITIES (1) Shareholders' Funds: (a) Share Capital (b) Reserves and Surplus Balance Sheet of A Ltd. and B Ltd. as at 1st April, 2018 Note A Ltd. No. (²) (2) (3) (2) Share Application Money Pending Allotment: (3) Non-current Liabilities: (4) Current Liabilities: (a) Short-term Borrowings (b) Trade Payables ---Creditors TOTAL II. ASSETS (1) Non-current Assets: (a) Fixed Assets TOTAL Particulars (1) (2) Current Assets: (a) Inventories (b) Cash and Cash Equivalents (i) Tangible Assets -- Plant and Machinery (1) (2) 1,50,000 75,000 25,000 2,50,000 1,40,000 30,000 80,000 2,50,000 B Ltd. (₹) (4) 1,00,000 50,000 50,000 2,00,000 1,25,000 60,000 15,000 2,00,000