Prosperous Ltd. has incurred exceptional losses and a scheme of reconstruction was approved by all the concerned parties. The Balance Sheet as at 31st March, 2016 showed:The scheme of reconstruction provided :
(a) a new company ---- Bright Ltd. ---- will be formed to take over the assets and liabilities of Prosperous Ltd. as at 31st March, 2016.
(b) 2,400 equity shares of ₹ 100 each in Bright Ltd., credited as ₹ 50 per share paid up, to be issued to the liquidator of Prosperous Ltd. for the benefit of that company’s equity shareholders who had agreed to pay up the balance of ₹ 50 per share immediately.
(c) 4,800 preference shares of Bright Ltd., credited as ₹ 75 per share paid up to be issued to liquidation of Prosperous Ltd. for the benefit of that company’s preference shareholders, who had agreed to pay the balance of ₹ 25 per share immediately. In addition, ₹ 57,600 in 14% debentures (redeemable after 5 years) are to be issued as compensation for arrears of preference dividends.
(d) Bright Ltd. to reimburse liquidation expenses of Prosperous Ltd. for ₹ 12,000.
(e) Bright Ltd. decided to adopt the following values for tangible assets acquired, viz., ₹ 16,80,000 for Plant and Machinery; ~ 6,00,000 for stock; ₹ 9,60,000 for trade debtors.
(f) Bright Ltd. immediately to discharge preferential creditors in cash.
(g) Bright Ltd. to fully satisfy ‘other creditors’ liability as under: ₹ 7,20,000 in cash; ₹ 3,60,000 in acceptance of a bill of exchange payable after 120 days; ₹ 3,60,000 in issue of 14% debentures (redeemable after 5 years).
(h) The authorised capital of Bright Ltd. will be ₹ 30,00,000 divided into 15,000, 12% cumulative preference shares of ₹ 100 each and 15,000 equity shares of ₹ 100 each.
(i) The directors of Bright Ltd. have agreed to subscribe for 8,400 equity shares of ₹ 100 each payable in full with application.
(j) Bright Ltd. decided to pay-off bank loan to the extent of ₹ 2,40,000 and the balance will be secured on fixed assets.
(k) Preliminary expenses of Bright Ltd. amounted to ₹ 24,000. Assuming that all the above provisions of the scheme are fulfilled, you are required to show:
(a) In the books of Prosperous Ltd.:

(i) Realisation Account;

(ii) Sundry Members Account; and

(b) (i) Journal entries (including for cash items) in the books of Bright Ltd., and

(ii) Opening Balance Sheet of Bright Ltd.

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I. EQUITY AND LIABILITIES (1) Shareholders' Funds: (a) Share Capital -- (b) Reserves and Surplus-Profit and Loss Account Balance Sheet of Prosperous Ltd. as at 31st March, 2016 (2) Share Application Money Pending Allotment : (3) Non-current Liabilities: (4) Current Liabilities: (a) Long-term borrowings - Bank Loan (Secured) (a) Trade Payables --- Particulars (1) Preferential Creditors Other Creditors TOTAL II. ASSETS (1) Non-current Assets : (a) Fixed Assets (i) Tangible Assets - Plant and Machinery Note No. (2) (1) Amount (₹) (3) 16,80,000 (9,00,000) 12,00,000 60,000 14,40,000 34,80,000 18,00,000