Question No 38 Chapter 2 – UNIMAX Class 12 Part 2 – 2021
Table of Contents
On 1st April, 2021, Ashok Ltd. issued 5,000, 6% debenture of ₹ 700 each at a premium of 5% and redeemable at a premium of 10% after 5 years. According to the terms of issue ₹ 280 was payable on application and balance on allotment. Record necessary entries regarding issue of debenture and writing off loss on issue of debentures.
The solution of Question 38 Chapter 2 of +2 Part-2: –
Journal
| Date | Particulars |
L.F. | Debit | Credit | |
| 2021 | |||||
| April 1 | Bank A/c | Dr. | 14,00,000 | ||
| To Debenture Application A/c | 14,00,000 | ||||
| (Being application money received on 5,000 debenture @ ₹ 280 each) | |||||
| April 1 | Debenture Application A/c | Dr. | 14,00,000 | ||
| To Debenture A/c | 14,00,000 | ||||
| (Being application money adjusted) | |||||
| April 1 | Debenture allotment A/c | Dr. | 22,75,000 | ||
| Loss on issue of debentures A/c | Dr. | 3,50,000 | |||
| To Debenture A/c | 21,00,000 | ||||
| To Premium on Redemption A/c | 3,50,000 | ||||
| To Securities premium reserve A/c | 1,75,000 | ||||
| (Being allotment money due on 5,000 debenture @ ₹ 455 per debenture including premium of ₹ 35 each and redeemable at 10% premium) | |||||
| April 1 | Bank A/c | Dr. | 22,75,000 | ||
| To Debenture allotment A/c | 22,75,000 | ||||
| (Being allotment money received) | |||||
| 2022 | |||||
| March 31 | Securities premium reserve A/c | Dr. | 1,75,000 | ||
| Statement of Profit & Loss A/c | Dr. | 1,75,000 | |||
| To Loss on issue of debenture A/c | 3,50,000 | ||||
| (Being loss on issue of debenture written off) | |||||
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Share Capital: Meaning, Types, and Classes
Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution
- Chapter No. 1 – Accounting Not for Profit Organisations
- Chapter No. 2 – Partnership Accounts – I (Introduction)
- Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)
- Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership)
- Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)
- Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)
- Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)
- Chapter No. 8 – Company Accounts (Share Capital)
- Chapter No. 9 – Company Accounts (Issue of Debentures)
- Chapter No. 10 – Company Accounts (Redemption of Debentures)
Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution
- Chapter No. 1 – Financial Statements of a Company
- Chapter No. 2 – Financial Statement Analysis
- Chapter No. 3 – Tools of Financial Statement Analysis- Comparative and Common Size
- Chapter No. 4 – Ratio Analysis
- Chapter No. 5 – Cash Flow Statement
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