Select Most Appropriate Alternative from Those Given Below : - Book Keeping and Accountancy

MCQ

Select most appropriate alternative from those given below :
___________debentures of which the amount is repaid written specific period.

Options

Redeemable
Irredeemable
Secured
Non convertible

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Solution

Redeemable debentures of which the amount is repaid within specific period.

Explanation: Debentures, on which the amount is to be paid back after a specified period of time, as per the terms of the issue, are known as redeemable debentures. They can only be redeemed after the expiry of a specified time period.

Concept: Issue of Debentures for Consideration Other than Cash

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Chapter 11: Company Accounts Part - 2 (Accounting for Debentures) - Exercise [Page 372]

Q 7 Q 6 Q 8

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