Chapter No. 9 – Issue of Debentures – Solution – Class 12

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: 

  1. Issuing prospectus 
  2. Receiving Application
  3. Allotment of Shares

Methods of Issue of Debenture:

The Methods of Issue of Debenture is on the basis of the following: 

  1. Issue Debenture for cash 
  2. Issue Debenture for consideration other than cash 
  3. 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

Check out T.S. Grewal Book Keeping +2 @ Official Website of Sultan Chand Publication

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