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Heaven Life Insurance Co. furnishes you the following information:

Particulars Amount (Rs)
Life Insurance fund on 31.03.2017 52,00,000
Net liability on 31.03.2017 as per actuarial valuation  40,00,000
Interim bonus paid to policyholders during intervaluation period

You are required to prepare: 

(i) Valuation balance Sheet; 

(ii) Statement of Net Profit for the valuation period; and 

(iii) Amount due to the policy holders.

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(i)Heaven Life Insurance Co. Valuation balance Sheet as at 31st march, 2017

Particular Amount Particulars Amount
To Net Liability as per actuarial valuation To Surplus 40,00,000 By Life Assurance Fund 52,00000
To Surplus  12,00,000
52,00,000 52,00,000

(ii) Statement showing Net Profit for the valuation period 

Particulars Amount
Surplus as per Balance Sheet (i.e.. Valuation Balance Sheet)  12,00,000
Add: Interim bonus paid 3,00,000
15,00,000

(iii) Amount due to Policyholders

Particulars Amount
95% of Net Profit due to policyholders (95% of Rs 15,00,000) 14,25,000
Less: Interim bonus already paid 3,00,000
Amount due to policyholders 11.25,000

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