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प्रश्न
C. Ltd. has outstanding 11,00,000, 10% debentures of Rs. 200 each, on April 1, 2017. The Board of Directors have decided to purchase 20% of own debentures for cancellation at Rs. 200 each. Record necessary entries for the same.
रोजनामा प्रविष्टि
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उत्तर
| Journal of C. Ltd. | ||||
| Date | Particulars | L.F. | Debit (₹) | Credit (₹) |
| 2017 | ||||
| Apr 01 | Own Debentures A/c ...Dr. | 4,40,00,000 | - | |
| To Bank A/c | - | 4,40,00,000 | ||
| (Being 2,20,000 own debentures purchased from the open market at par for immediate cancellation) | ||||
| Apr 01 | 10% Debentures A/c ...Dr. | 4,40,00,000 | - | |
| To Debenture holders A/c | - | 4,40,00,000 | ||
| (Being the purchased own debentures formally cancelled) | ||||
Working Notes:
Total Outstanding Debentures Amount = 11,00,000 × 200
= 22,00,00,000
Number of Debentures to be Purchased (20%) = `11,00,000 xx 20/100`
= 2,20,000
Nominal (Face) Value of Debentures to be Cancelled = 2,20,000 × 200
= 4,40,00,000
Purchase Cost (at Rs. 200 each) = 2,20,000 × 200
= 4,40,00,000
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