Chapter no. 9 – Company Accounts – Issue of Debenture – Solution – Class 12 of the all practical problems with the animation and videos. Firstly, we will clarify the meaning of the term of Company Accounts – Issue of Debentures shown as following:
What is the Issue of Debenture?
It means offers to provide a loan to the company to other persons or the public for raising funds for expansion. Persons included a natural person and an artificial person also. Artificial person means company or institution. Any business can issue its Debenture by following the steps:
- Issuing prospectus
- Receiving Application
- Allotment of Shares
Methods of Issue of Debenture:
The Methods of Issue of Debenture is on the basis of the following:
- Issue Debenture for cash
- Issue Debenture for consideration other than cash
- As collateral security
Read the Full Article from the following link: –
Issue of Debenture – Methods and accounting treatment
Chapter No. 9 – Issue of Debentures – Solution – Class 12
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