Question :
R Ltd. issued 10,000, 12% Debentures of Rs. 100 each at a discount of 5%. Discount on issue of debenture account will be ----------. Debenture account credited by --------
Option 1: Debited by Rs 50,000, Debentures credited by 10,00,000
Option 2: Credited by Rs 50,000 debentures account credited by 10,00,000
Option 3: Debited by Rs 50,000 Debentures account credited by Rs 9,50,000
Option 4: None of the above
Correct Answer: Debited by Rs 50,000, Debentures credited by 10,00,000
Solution : Answer = Debited by Rs 50,000, Debentures credited by Rs 10,00,000
Discount on issue of DeBentures = 50,000 Rs
(10000 DeBentures @ Rs 5)
12 % DeBentures = 10,00,000
(10,000 deB @ 100 each) Hence, the correct option is 1.
Intel Ltd. issued 10,000, 7% Debentures of Rs. 100 each at a discount of 10%. It has Securities Premium Reserve of Rs.1,50,000.Discount on Issue of Debentures, i.e., Rs. 1,00,000 will be written off by passing the following
Citizen Ltd. issued 10,000, 6% Debentures of Rs. 100 each at a discount of 10% redeemable at 10% premium. It has Securities Premium Reserve of Rs. 1,75,000. Loss on Issue of Debentures Rs. 2,00,000 will be written off by
Dilate Ltd. issued 10,000, 6% Debentures of Rs. 100 each at a discount of Rs. 10. It will credit 6% of Debentures Account by
Question : On 1st April, 2018, RJ. Ltd. issued Rs. 10,00,000, 9% Debentures of Rs. 100 each at a discount of 10%. These debentures were redeemable at a premium of 5% after four years. Premium on Redemption of Debentures debited/credited with ______.
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