Question : When debentures are issued at premium and redeemed at premium, the journal entry will have the following combination:
(A) Discount on issue of debentures account is credited
(B) Loss on issue of debentures account is debited
(C) Security premium account is credited
(D) Premium on redemption of debentures account is credited
Option 1: (A), (B) and (D) only
Option 2: (A), (B) and (C) only
Option 3: (A), (B), (C) and (D)
Option 4: (B), (C) and (D) only
Correct Answer: (B), (C) and (D) only
Solution : Following is the Journal Entry for debentures issued at premium and redeemed at premium:
Debenture Application & Allotment A/c Dr.
Disount on Issue of Debentures A/c Dr.
Loss on Issue of Debentures A/c Dr.
To % Debentures A/c
To Premium on Redemption of Debentures A/c
To Securities Premium Reserve A/c
Question : Arrange the following in the correct sequence in the context of debenture.
Question : Which one of the following are correct in connection with the Common Size Statement?
Question : The journal entry for treatment of goodwill, when a new partner brings his share of goodwill in cash and one of the old partners gains, involves the following
Question : Arrange the following in the correct order:
(A)
Question : Which of the following would affect the Revaluation Account at the time of admission of a partner?
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