The following items were extracted from the Balance Sheet of Z Ltd. as on 01.04.2019: Particulars: Equity share capital fully paid up ₹12,00,000; 12% preference share capital ₹5,00,000; Securities premium ₹6,00,000; 13%

In the books of Z Ltd. (Journal Entries) Particulars Dr. (₹) Cr. (₹) Profit and Loss A/c 1,17,000 To Debenture Interest A/c 1,17,000 (Being transfer of debenture interest to profit and loss account) Profit and Loss A/c 3,24,900 To Provision for Taxation A/c 3,24,900 (Being provision for tax @ 30% made on ₹10,83,000 (12,00,000 - 1,17,000)) Profit and Loss A/c 37,905 To General reserve A/c 37,905 (Being creation of general reserve @ 5% of net profit ₹7,58,100 i.e. (10,83,000 - 3,24,900)) Profit and Loss A/c 60,000 To Preference share dividend A/c 60,000 (Being preference share dividend payable @ 12% on ₹5,00,000) Profit and Loss A/c 1,80,000 To Equity share dividend A/c 1,80,000 (Being equity share dividend payable @ 15% on ₹12,00,000)