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.
Question : Prakash Ltd. purchased assets worth Rs.2,20,000 and also took over the liabilities (creditors) of Rs.40,000 of Ajay Ltd. for a purchase consideration of Rs.1,92,000. Prakash Ltd. paid the purchase consideration by issuing 12% debentures of Rs.100 each at a premium of
Question : Prakash Ltd. purchased assets worth Rs.2,20,000 and also took over the liabilities (creditors) of Rs.40,000 of Ajay Ltd. for a purchase consideration of Rs.1,92,000. Prakash
Ltd. paid the purchase consideration by issuing 12% debentures of Rs.100 each at a premium of
Question : Exe Ltd. took over assets of Rs. 7,00,000 and liabilities of Rs. 60,000 of Wye Ltd. for the purchase consideration of Rs. 6,60,000. Exe Ltd. paid the purchase consideration by issuing 9% Debentures of Rs. 100 each at 10% premium.
Numbers of
Question : Prakash Ltd. purchased assets worth Rs.2,20,000 and also took over the liabilities (creditors) of Rs.40,000 of Ajay Ltd. for a purchase consideration of Rs. 1,92,000. Prakash Ltd. paid the purchase consideration by issuing 12% debentures of Rs.100 each at premium of
Question :
Exe Ltd. took over assets of Rs. 7,00,000 and liabilities of Rs. 60,000 of Wye Ltd. for the purchase consideration of Rs. 6,60,000. Exe Ltd. paid the purchase consideration by issuing 9% Debentures of Rs. 100 each at 10%
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