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प्रश्न
X Ltd. purchased assets of ₹ 18,00,000 and took over liabilities of ₹ 6,00,000 of Y Ltd. for a purchase consideration of ₹ 10,00,000. The payment to Y Ltd. was made by issue of 9% debentures of ₹ 100 each at ₹ 125. Calculate the number of 9% debentures issued in favour of Y Ltd. and pass the necessary journal entries for the above transactions in the books of X Ltd.
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उत्तर
Calculation of no. of debentures issued:
Purchase consideration = ₹ 10,00,000
Nominal value of deb. = ₹ 100
Premium = 25
No. of Debentures issued = ₹ `(10,00,000)/125` = 8,000 Debentures
| In the Books of X Ltd. Journal Entries |
||||
| Date | Particular | L.F. | Dr. (₹) | Cr. (₹) |
| 1. | Assets A/c ...Dr. | 18,00,000 | - | |
|
To Liabilities A/c |
- | 6,00,000 | ||
| To Y Ltd. (Pur. Cons.) | - | 10,00,000 | ||
| To Capital Reserve (Balancing Figure) | - | 2,00,000 | ||
| (Being business taken over of Y Ltd.) | ||||
| 2. | Y Ltd. ...Dr. | 10,00,000 | - | |
| To 9% Debentures A/c | - | 8,00,000 | ||
| To Securities Premium Reserve A/c | - | 2,00,000 | ||
| (Being purchase consideration satisfied by giving 9% debentures.) |
||||
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संबंधित प्रश्न
Short Answer Question
What is meant by ‘Issue of debentures for Consideration other than Cash’?
What is meant by ‘Issue of debenture at discount and redeemable at premium’?
Long Answer Question
Describe the meaning of ‘Debenture Issued as Collateral Securities’. What accounting treatment is given to the issue of debentures in the books of accounts?
Long Answer Question
Explain the different terms for the issue of debentures with reference to their redemption.
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