Question : On 1st April, 2018 X Ltd. issued 20,000, 10% Debentures of Rs.100 each at a discount of 5% redeemable at a premium of 4% after 5 years. It decided to write off loss on issue of debentures in the year ended 31st March, 2019. It has the following balances :
Capital Reserve Rs.1,00,000 and Securities Premium Reserve Rs.50,000.

Question:-  At the time of writing off loss on issue of debentures, securities premium reserve account will be __________. 

Option 1: Credited by Rs. 50,000

Option 2: Debited by Rs. 50,000

Option 3: Debited by Rs. 1,80,000

Option 4: Credited by Rs. 1,80,000

Question : On 1st April, 2018 X Ltd. issued 20,000, 10% Debentures of Rs.100 each at a discount of 5% redeemable at a premium of 4% after 5 years. It decided to write off loss on issue of debentures in the year ended 31st March, 2019. It has the following balances :
Capital Reserve Rs.1,00,000 and Securities Premium Reserve Rs.50,000.

Question:-  At the time of writing off loss on issue of debentures, securities premium reserve account will be __________. 

Option 1: Credited by Rs. 50,000

Option 2: Debited by Rs. 50,000

Option 3: Debited by Rs. 1,80,000

Option 4: Credited by Rs. 1,80,000

Question : On 1st April, 2018 X Ltd. issued 20,000, 10% Debentures of Rs.100 each at a discount of 5% redeemable at a premium of 4% after 5 years. It decided to write off loss on issue of debentures in the year ended 31st March, 2019. It has the following balances :
Capital Reserve Rs.1,00,000 and Securities Premium Reserve Rs.50,000.

Question:-  At the time of writing off loss on issue of debenture. Statement of profit and loss account will be __________.

Option 1: Debited by Rs. 1,80,000
 

Option 2: Credited by Rs. 30,000

Option 3: Debited By Rs.1,30,000

Option 4: None of the above 

Question : On 1st April 2018, X Ltd. issued 20,000, 10% Debentures of Rs.100 each at a discount of 5% redeemable at a premium of 4% after 5 years. It is decided to write off the loss on the issue of debentures in the year ended 31st March 2019. It has the following balances :
Capital Reserve Rs.1,00,000 and Securities Premium Reserve Rs.50,000.

Question:-  Which of the following statements is correct /true?

Option 1: Discount or Loss on issue may also be written off during the tenure (life) of the debentures either by  Writing off an equal amount each year; or
 

Option 2: Writing off proportionate amount each year

Option 3: Both A and B 

Option 4: None of the above 

Question : On 1st April 2018, X Ltd. issued 20,000, 10% Debentures of Rs.100 each at a discount of 5% redeemable at a premium of 4% after 5 years. It is decided to write off the loss on the issue of debentures in the year ended 31st March 2019. It has the following balances :
Capital Reserve Rs.1,00,000 and Securities Premium Reserve Rs.50,000.

Question:-  Which of the following statements is correct /true?

Option 1: Discount or Loss on issue may also be written off during the tenure (life) of the debentures either by  Writing off an equal amount each year; or
 

Option 2: Writing off proportionate amount each year

Option 3: Both A and B 

Option 4: None of the above