Question 24 Chapter 9 of +2-A - T.S. Grewal 12 Class

Question 24 Chapter 9 of +2-A

Table of Contents

The solution of Question 24 Chapter 9 of +2-A: –

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

24. Green Ltd. purchased the assets of Strong Ltd. for 􀀀 40,00,000 and took over liabilities of 7,00,000 at an agreed value of 􀀀 32,40,000. The payment was made by issuing 10% Debentures of 100 each at a discount of 10%. Pass the necessary Journal entries in the books of Green Ltd…

The solution of Question 24 Chapter 9 of +2-A: –


Date	Particulars		L.F.	Debit	Credit
	Sundry Assets A/c	Dr		40,00,000
	To Sundry Liabilities A/c				7,00,000
	To Strong Ltd. A/c				32,40,000
	To Capital Reserve A/c				60,000
	(Being assets and liabilities purchased from Strong Ltd.. )
	Strong . Ltd. A/c	Dr		32,40,000
	Discount on Issue of Debenture. A/c	Dr		3,60,000
	To 9%Debenture A/c				36,00,000
	(Being debenture issued )