Question : Sudhir Ltd. took over Assets of Rs.8,50,000 and Liabilities of Rs.1,50,000 of Gopal Ltd. at an agreed price of Rs.7,20,000. The purchase consideration was discharged by issuing 12% debentures of Rs.100 each at a premium of 20%.
Question:- Rs 20,000 will be
Option 1: Credited to goodwill account
Option 2: Debited to goodwill account
Option 3: Debited to discount on issue of debentures account ‘
Option 4: Debited to loss on issue of debentures account
Correct Answer: Debited to goodwill account
Solution : Answer = Debited to goodwill account
Assets A/ c Dr 8,50,000 Goodwill A/c Dr (balancing figure ) 20,000 To Liabilities 1,50,000 To Gopal Ltd 7,20,000 Hence, the correct option is 2.
Question : Sudhir Ltd. took over Assets of Rs.8,50,000 and Liabilities of Rs.1,50,000 of Gopal Ltd. at an agreed price of Rs.7,20,000. The purchase consideration was discharged by issuing 12% debentures of Rs.100 each at a premium of
Question : KTR Ltd., issued 365, 9% Debentures of Rs. 1,000 each on 4th March, 2016 at 6% discount, redeemable at 5% premium. Loss on issue of Debentures debited/credited with _____________.
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