Question

When debentures are to be redeemed at a premium, an extra entry has to be made at the time of issue of debentures. Which A/c should be debited in this entry?

Options

• Loss on issue of debentures A/c

• Debenture Redemption Premium A/c

• Bank A/c

• Debenture holder’s A/c

Answer 1

Loss on issue of debentures A/c