Question : Rohit Ltd. purchased assets for Rs.1,20,000 and also took over the outside liabilities Rs.20,000 of Amir Ltd. for a purchase consideration of Rs. 1,92,000. Rohit Ltd. paid the purchase consideration by issuing 10% debentures of Rs.100 each at a discount of 20%.
Calculate the number of debentures.
Option 1: 2,133
Option 2: 2,135
Option 3: 2,100
Option 4: 2,111
Correct Answer: 2,133
Solution :
Assets A/c Dr. 1,20,000
Goodwill A/c Dr. 92,000
To Outside Liabilities A/c 20,000
To Amir Ltd. 1,92,000
(Being assets are purchased)
Amir Ltd. Dr. 1,92,000
Discount on issue of deb. A/c Dr. 21,330 (2,133 X 10)
To 10% Debentures A/c 2,13,300 (2,133 X 100)
To Bank A/c 30
(10% debentures are issued)
Working Notes:
Number of debentures = Purchase Consideration/Issue Price = Rs.1,92,000/(100 - 10) = 2,133 (approx.).
Hence, the correct option is 1.
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