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प्रश्न
On 1st April, 2012, Neptune Finance Company (a listed NBFC) issued 4,000, 9% Debentures of ₹ 100 each to be redeemed at a premium of 5% on 31st March, 2021.
You are required to pass necessary journal entries for the issue and redemption of debentures.
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उत्तर
| In the Books of Neptune Finance Company | ||||
| Journal Entries | ||||
| Date | Particulars | L.F. | Debit (₹) | Credit (₹) |
| 2012 |
||||
| April 1 | Bank A/c ...Dr. | 4,00,000 | - | |
| To Debenture A/c | - | 4,00,000 | ||
| (Being application & allotment amount received) | ||||
| 2020 | ||||
| April 1 | Debenture Redemption Investment A/c ...Dr. | 60,000 | - | |
| To Bank A/c | - | 60,000 | ||
| (Being amount invested) | ||||
| 2021 | ||||
| March 31 | 9% Debentures A/c ...Dr. | 4,00,000 | - | |
| Premium on Redemption of Debentures A/c ...Dr. | 20,000 | - | ||
| To Debentureholders A/c | - | 4,20,000 | ||
| (Being amount due) | ||||
| March 31 | Debentureholders A/c ...Dr. | 4,20,000 | - | |
| To Bank A/c | - | 4,20,000 | ||
| (Being amount paid) | ||||
Working Notes:
- Premium on Redemption of Debentures = 5 % × ₹ 4,00,000 = ₹ 20,000
- Amount invested in Debenture Redemption Investment = 15% × ₹ 4,00,000 = ₹ 60,000
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संबंधित प्रश्न
On 1.4.2015, KVK Ltd. issued 15,000, 9% debentures of Rs 100 each at a discount of 7%, redeemable t a premium of 10% after 10 years. The company closes its books on 31st March every year. Interest on 9%debentures is payable on 30th September and 31st March every year. The rate of tax deducted at source is 10%.
Pass necessary journal entries for the issue of 9% debentures and debenture interest for the year ended 31.3.2016.
Pass necessary Journal entries for the following transaction in the books of Fortune Ltd:
(i) Redeemed Rs 96,000, 12% Debenture by conversion into Equity Shares of Rs 100 each. The
Equity Shares were issued at a discount 4%.
(ii) Converted 4,800, 12% Debentures of Rs 100 each into New 13% Debentures of Rs 100 each.
The new Debentures were issued at a premium 25%.
X Ltd. obtained a loan of Rs. 4,00,000 from IDBI Bank. The company issued 5,000, 9% Debentures of Rs. 100 each as collateral security for the same. Show how these items will be presented in the Balance Sheet of the company.
Select most appropriate alternative from those given below :
The issue of debentures less than the face value is called ___________.
BGP Ltd. invited applications for issuing 15,000, 11% debentures of ₹ 100 each at a premium of ₹ 50 per debenture. The full amount was payable on application. Applications were received for 25,000 debentures. Applications for 5,000 debentures were rejected and the application money was refunded. Debentures were allotted to the remaining applicants on a pro-rata basis.
Pass the necessary journal entries for the above transactions in the books of BGP Ltd.
Savitri Ltd. issued 50,000, 8% Debentures of ₹ 100 each at a certain rate of premium to be redeemed at a 10% premium. At the time of writing off Loss on Issue of Debentures, Statement of Profit and Loss was debited with ₹ 2,00,000. At what rate of premium, these debentures were issued?
Durga Ltd. issued 80,000, 10% Debentures of ₹ 100 each at a certain rate of discount and were to be redeemed at a 20% premium. Existing balance of Securities Premium before issuing of these debentures was ₹ 25,00,000 and after writing off Loss on the Issue of Debentures, the balance in Securities Premium was ₹ 5,00,000. At what rate of discount, these debentures were issued?
Pass journal entries relating to issue of debentures for the following transactions:
- Issued 8,000, 10% debentures of ₹ 100 each at a discount of 10%, redeemable at 5% premium.
- Issued 4,000, 12% debentures of ₹ 100 each at 10% premium, redeemable at 6% premium.
- Issued ₹ 1,00,000, 9% debentures of ₹ 100 each at par redeemable at par.
- Issued ₹ 5,00,000, 9% debentures of ₹ 100 each at 10% premium redeemable at par.
- Issued ₹ 6,000, 9% debentures of ₹ 100 each at a discount of 10% redeemable at par.
Which of the following statement is incorrect with respect to debentures?
Chiranjeevi Limited issued 2,000, 10% debentures of ₹ 100 each. Pass the necessary Journal entries for the issue of debentures in the following cases:
- When debentures were issued at 10% premium, redeemable at 5% premium.
- When debentures were issued at 5% discount, redeemable at 10% premium.
- When debentures were issued at par, redeemable at a premium of 10%
