RKT Ltd. issued 40,000 equity shares of ₹10 each and 10,000 9% redeemable preference shares of ₹100 each being fully called and paid up on 31^st March 2002. Profit and loss account showed undistributed profits of ₹8,00,000 and general reserves stood at ₹3,00,000. On 1^st April 2002, the directors decided to redeem the existing preference shares at par utilising as much profits as would be required for the purpose. Pass journal entries in the books of the company.