Double Entry Book Keeping Ts Grewal 2016 Solutions for Class 12 Commerce Accountancy Chapter 9 Company Accounts Issue Of Debentures are provided here with simple step-by-step explanations. These solutions for Company Accounts Issue Of Debentures are extremely popular among Class 12 Commerce students for Accountancy Company Accounts Issue Of Debentures Solutions come handy for quickly completing your homework and preparing for exams. All questions and answers from the Double Entry Book Keeping Ts Grewal 2016 Book of Class 12 Commerce Accountancy Chapter 9 are provided here for you for free. You will also love the ad-free experience on Meritnation’s Double Entry Book Keeping Ts Grewal 2016 Solutions. All Double Entry Book Keeping Ts Grewal 2016 Solutions for class Class 12 Commerce Accountancy are prepared by experts and are 100% accurate.
Page No 9.38:
Question 1:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 60,00,000 | |||
To Debenture Application and Allotment A/c
|
60,00,000 | ||||
(Application money received on 60,000 debentures) | |||||
Debenture Application and Allotment A/c | Dr. | 60,00,000 | |||
To 10% Debentures A/c
|
40,00,000 | ||||
To Bank A/c
|
20,00,000 | ||||
(Application money transferred to Debentures Account and excess money refunded) | |||||
Page No 9.38:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 50,000 | |||
To Debenture Application A/c
|
50,000 | ||||
(Application money received on 2,000 debentures) | |||||
Debenture Application A/c | Dr. | 50,000 | |||
To 8% Debentures A/c
|
50,000 | ||||
(Application money transferred to Debentures Account) | |||||
Debenture Allotment A/c | Dr. | 50,000 | |||
To 8% Debentures A/c
|
50,000 | ||||
(Allotment money due on 2,000 debentures) | |||||
Bank A/c | Dr. | 50,000 | |||
To Debenture Allotment A/c
|
50,000 | ||||
(Allotment money received on 2,000 debentures) | |||||
Debenture First and Final Call A/c | Dr. | 1,00,000 | |||
To 8% Debentures A/c
|
1,00,000 | ||||
(First and final call due on 2,000 debentures) | |||||
Bank A/c | Dr. | 1,00,000 | |||
To Debenture First and Final Call A/c
|
1,00,000 | ||||
(Amount received on first and final call) | |||||
Page No 9.38:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 50,000 | |||
To Debentures Application A/c
|
50,000 | ||||
(Applications money received for 5,000, 8% debentures @ Rs 10 per debenture) | |||||
Debentures Application A/c | Dr. | 50,000 | |||
To 8% Debentures A/c
|
50,000 | ||||
(Application money transferred to 8% Debentures A/c) | |||||
Debenture Allotment A/c (5,000 × 20) | Dr. | 1,00,000 | |||
To 8% Debentures A/c (5,000 × 15)
|
75,000 | ||||
To Securities Premium A/c (5,000 × 5)
|
25,000 | ||||
(Allotment money due on 5,000 debentures) | |||||
Bank A/c | Dr. | 1,00,000 | |||
To Debentures Allotment A/c
|
1,00,000 | ||||
(Allotment money received on 5,000 debentures) | |||||
Debenture First and Final Call A/c (5,000 × 75) | Dr. | 3,75,000 | |||
To 8% Debentures A/c
|
3,75,000 | ||||
( Amount due on first call @ Rs 75 per debenture) | |||||
Bank A/c | Dr. | 3,75,000 | |||
To Debentures First and Final Call A/c
|
3,75,000 | ||||
(Amount received on first call) | |||||
Balance Sheet of X Lt.d
as at …..
|
||
Particulars | Note No. |
Amount (Rs) |
I. Equity and Liabilities | ||
1. Shareholders’ Funds
|
||
a. Share Capital
|
||
b. Reserves and Surplus
|
1 | 25,000 |
2. Non-Current Liabilities
|
||
a. Long-term Borrowings
|
2 | 5,00,000 |
Total | 5,25,000 | |
II. Assets |
||
2. Current Assets
|
||
a. Cash and Cash Equivalents
|
3 | 5,25,000 |
Total | 5,25,000 | |
NOTES TO ACCOUNTS | ||
Note No. |
Particulars | Amount (Rs) |
1 | Reserves and Surplus | |
Securities Premium
|
25,000 | |
2 | Long Term Borrowings | |
5,000, 8% Debentures of Rs 100 each
|
5,00,000 | |
3 | Cash and Cash Equivalents | |
Cash at Bank
|
5,25,000 | |
Page No 9.38:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 2,50,000 | |||
To Debenture Application A/c
|
2,50,000 | ||||
(Application money received on 10,000 debentures) | |||||
Debenture Application A/c | Dr. | 2,50,000 | |||
To 10% Debentures A/c
|
2,50,000 | ||||
(Application money transferred to Debentures Account) | |||||
Debenture Allotment A/c | Dr. | 6,50,000 | |||
Discount on Issue of Debentures A/c | 1,00,000 | ||||
To 10% Debentures A/c
|
7,50,000 | ||||
(Allotment money due on debentures) | |||||
Bank A/c | Dr. | 6,50,000 | |||
To Debenture Allotment A/c
|
6,50,000 | ||||
(Amount received on allotment) | |||||
Page No 9.38:
Answer:
Books of A Ltd. |
|||||
Journal |
|||||
Date |
Particular |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bank A/c |
Dr. |
|
48,000 |
|
|
To 9% Debenture Application A/c |
|
|
48,000 |
|
|
(Debenture application money received for 2,400 debentures at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
9% Debenture Application A/c |
Dr. |
|
48,000 |
|
|
To 9% Debentures A/c |
|
|
40,000 |
|
|
To 9% Debentures Allotment A/c |
|
|
4,000 |
|
|
To Bank A/c |
|
|
4,000 |
|
|
(Debenture application money transferred to 9% Debenture account for 2,000 Debenture, adjusted to Debenture Allotment account for 200 Debentures and money refunded for 200 debentures) |
|
|
|
|
|
|
|
|
|
|
|
9% Debenture Allotment A/c |
Dr. |
|
40,000 |
|
|
To 9% Debentures A/c |
|
|
40,000 |
|
|
(Debenture allotment money due on 2,000 debentures at Rs 20 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
36,000 |
|
|
To 9% Debentures Allotment A/c |
|
|
36,000 |
|
|
(Debenture allotment money received) |
|
|
|
|
|
|
|
|
|
|
|
Debenture First Call A/c |
Dr. |
|
60,000 |
|
|
To 9% Debentures A/c |
|
|
60,000 |
|
|
(Debenture first call money due on 2,000 9% debenture at Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
60,000 |
|
|
To Debenture First Call A/c |
|
|
60,000 |
|
|
(Debenture first call money received) |
|
|
|
|
|
|
|
|
|
|
|
Debenture Final Call A/c |
Dr. |
|
60,000 |
|
|
To 9% Debentures A/c |
|
|
60,000 |
|
|
(Debentures final call money due on 2,000 9% Debentures at Rs 30 each) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
60,000 |
|
|
To Debenture Final Call A/c |
|
|
60,000 |
|
|
(Debenture final call received on 2,000 9% Debenture at Rs 30 each) |
|
|
|
|
|
|
|
|
|
Page No 9.38:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Entry for all cases | |||||
Assets A/c | Dr. | 6,60,000 | |||
Goodwill A/c (Balancing Figure) | Dr. | 20,000 | |||
To Liabilities A/c
|
80,000 | ||||
To Y Ltd.
|
6,00,000 | ||||
(Purchased assets and liabilities of Y Ltd.) | |||||
Case (a) | Y Ltd. | Dr. | 6,00,000 | ||
To 12% Debentures A/c
|
5,40,000 | ||||
To Cash A/c (10% of 6,00,000)
|
60,000 | ||||
(Issue of 12% debentures at par) | |||||
Case (b) | Y Ltd. | Dr. | 6,00,000 | ||
To 12% Debentures A/c (WN1)
|
4,50,000 | ||||
To Securities Premium A/c
|
90,000 | ||||
To Cash A/c (10% of 6,00,000)
|
60,000 | ||||
(Issue of 12% debentures at 20% premium) | |||||
Case (c) | Y Ltd. | Dr. | 6,00,000 | ||
Discount on Issue of Debentures A/c (WN2) | Dr. | 60,000 | |||
To 12% Debentures A/c
|
6,00,000 | ||||
To Cash A/c (10% of 6,00,000)
|
60,000 | ||||
(Issue of 12% debentures at 10% discount) | |||||
Working Notes:
WN 1: Calculation of number of debentures issued
WN 2: Calculation of number of debentures issued
Page No 9.39:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Assets A/c | Dr. | 2,50,000 | |||
Goodwill A/c (Balancing Figure) | Dr. | 1,10,000 | |||
To Liabilities A/c
|
30,000 | ||||
To Goneby Co.
|
3,30,000 | ||||
(Purchase of Assets and Liabilities of Goneby Ltd.) | |||||
Goneby Co. | Dr. | 3,30,000 | |||
To _ % Debentures A/c
|
3,00,000 | ||||
To Securities Premium A/c
|
30,000 | ||||
(Issue of debentures at 10% premium) | |||||
Working Notes: Calculation of Number of Debentures issued
Page No 9.39:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit
Amount (Rs) |
|
Sundry Assets A/c | Dr. | 5,40,000 | |||
To A Ltd.
|
5,40,000 | ||||
(Purchased business of A Ltd.) | |||||
A Ltd. | Dr. | 5,40,000 | |||
To 9% Debentures A/c
|
4,00,000 | ||||
To Securities Premium A/c
|
40,000 | ||||
To Cash A/c
|
1,00,000 | ||||
(Payment made to A Ltd partially in cash and remaining by issue of 9% debentures at 10% premium) | |||||
Working Notes: Calculation of Number of Debentures issued
Page No 9.39:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Plant and Machinery A/c | Dr. | 10,00,000 | |||
To Vendor’s A/c
|
10,00,000 | ||||
(Purchased plant and machinery from the vendor) | |||||
Vendor’s A/c | Dr. | 10,00,000 | |||
Discount on Issue of Debentures A/c | Dr. | 75,000 | |||
To 10% Debenture A/c
|
7,50,000 | ||||
To Cash A/c
|
3,25,000 | ||||
(Payment made to vendor partially in cash and remaining by issue of 10% debentures at 10% discount) | |||||
Working Notes: Calculation of Number of Debentures issued
Page No 9.39:
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Assets A/c |
Dr. |
|
4,00,000 |
|
|
Goodwill A/c (balancing figure) |
Dr. |
|
30,000 |
|
|
To Liabilities A/c |
|
|
50,000 |
|
|
To Mohan Bros. A/c |
|
|
3,80,000 |
|
|
(Asset and liabilities purchased from Mohan Bros.) |
|
|
|
|
|
|
|
|
|
For issuing Debentures at 10% discount
Journal
|
|||||
Date
|
Particulars
|
L.F.
|
Debit Amount
Rs
|
Credit Amount
Rs
|
|
|
Mohan Bros.
|
Dr.
|
|
3,80,000
|
|
|
Discount on issue of Debenture A/c
|
Dr.
|
|
42,220
|
|
|
To Debenture A/c
|
|
|
4,22,200
|
|
|
To Bank A/c
|
|
|
20
|
|
|
(Issued 4,222 Debentures of Rs 100 each at 10% discount to Mohan Bros. and fraction of debentures is paid in cash)
|
|
|
|
|
|
|
|
|
|

Page No 9.39:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Building A/c | Dr. | 9,00,000 | |||
To Vendor’s A/c
|
9,00,000 | ||||
(Building purchased from vendor) | |||||
Vendor’s A/c | Dr. | 9,00,000 | |||
To _% Debentures A/c
|
9,00,000 | ||||
(Issue debentures to vendor for purchase consideration) | |||||
Page No 9.39:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) | Credit Amount (Rs) | |
Machinery A/c | Dr. | 6,30,000 | |||
To B’s A/c
|
6,30,000 | ||||
(Machinery purchased from B) | |||||
B’s A/c | Dr. | 6,30,000 | |||
To 10% Debentures A/c
|
6,00,000 | ||||
To Securities Premium A/c
|
30,000 | ||||
(Issued 10% debentures at 5% premium to B for purchase consideration) | |||||
Working Notes: Calculation of Number of Debentures issued
Page No 9.39:
Answer:
Books of R Ltd. |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Assets A/c |
Dr. |
|
5,00,000 |
|
|
To Liabilities A/c |
|
|
2,00,000 |
|
|
To S Ltd. |
|
|
2,80,000 |
|
|
To Capital Reserve A/c (balancing figure) |
|
|
20,000 |
|
|
(Asset purchased and liabilities took over from S Ltd.) |
|
|
|
|
|
|
|
|
|
|
|
S Ltd. |
Dr. |
|
2,80,000 |
|
|
To 9% Debentures A/c |
|
|
2,80,000 |
|
|
(Issued 2,800 9% Debentures of Rs 100 each) |
|
|
|
|
|
|
|
|
|
Working Note:

Page No 9.39:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
(i) | Bank A/c | Dr. | 5,00,000 | ||
To Debenture Application and Allotment A/c
|
5,00,000 | ||||
(Money on Application and Allotment received) | |||||
Debenture Application and Allotment A/c | Dr. | 5,00,000 | |||
To 10% Debentures A/c
|
5,00,000 | ||||
(Money transferred to 10% Debentures Account) | |||||
(ii) | Fixed Assets A/c | Dr. | 5,50,000 | ||
To Vendor’s A/c
|
5,50,000 | ||||
(Purchased fixed assets from vendor) | |||||
Vendor’s A/c | Dr. | 5,50,000 | |||
To 10% Debentures A/c
|
5,00,000 | ||||
To Securities Premium A/c | 50,000 | ||||
(Debentures issued to vendor for purchase of assets) | |||||
Page No 9.39:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Entry for all cases | |||||
Assets A/c | Dr. | 6,60,000 | |||
Goodwill A/c (Balancing Figure) | Dr. | 20,000 | |||
To Liabilities A/c
|
80,000 | ||||
To Y Ltd.
|
6,00,000 | ||||
(Purchased assets and liabilities of Y Ltd.) | |||||
Case (a) | Y Ltd. | Dr. | 6,00,000 | ||
To 12% Debentures A/c (5,400 × 100)
|
5,40,000 | ||||
To Bank A/c (10% of 6,00,000)
|
60,000 | ||||
(Cash paid to Y Ltd. and for the remaining 5,400 12% Debentures issued at par) | |||||
Case (b) | Y Ltd. | Dr. | 6,00,000 | ||
To 12% Debentures A/c (4,500 × 100)
|
4,50,000 | ||||
To Securities Premium A/c (4,500 × 20)
|
90,000 | ||||
To Bank A/c (10% of 6,00,000)
|
60,000 | ||||
(Cash paid to Y Ltd. and for the remaining 5,400 12% Debentures issued at 20% premium) | |||||
Page No 9.39:
Answer:
When Debentures Issued as Collateral Security are shown separately
Date
|
Particulars
|
L.F.
|
Debit Amount
Rs
|
Credit Amount
Rs
|
|
|
Bank A/c
|
Dr.
|
|
4,00,000
|
|
|
To Loan from Mahavir Bank Ltd.
|
|
|
4,00,000
|
|
|
(Loan taken against issuing 8% Debentures as collateral security)
|
|
|
|
|
|
|
|
|
|
|
|
Debenture Suspense A/c
|
Dr.
|
|
4,00,000
|
|
|
To 8% Debenture A/c
|
|
|
4,00,000
|
|
|
(Debentures issued as collateral security)
|
|
|
|
|
|
|
|
|
|
Posting in the Company's Balance Sheet (When Debentures Issued as Collateral Security are shown separately)
Balance Sheet
|
||
Particulars
|
Note No.
|
Amount
(Rs)
|
I Equity and Liabilities
|
|
|
1.Shareholders’ Funds
|
|
|
2.Non-Current Liabilities
|
|
|
a. Long-Term Borrowings
|
1
|
4,00,000
|
3.Current Liabilities
|
|
|
Total
|
|
4,00,000
|
|
|
|
II Assets
|
|
|
1. Non-Current Assets
|
|
|
2. Current Assets
|
|
|
a. Cash and Cash Equivalents
|
2
|
4,00,000
|
Total
|
|
4,00,000
|
|
|
|
NOTES TO ACCOUNTS
Note No.
|
Particulars
|
Amount
(Rs)
|
|
|
|
|
|
1
|
Long-Term Borrowings
|
|
|
|
Secured:
|
|
|
|
Loan From Mahavir Bank (Secured by issue of Debentures of Rs 4,00,000)
|
4,00,000
|
|
|
8% Debentures (Issued as Collateral Security to Bank against Loan)
|
4,00,000
|
|
|
Less: Debenture Suspense Account
|
4,00,000
|
-
|
|
|
4,00,000
|
|
2
|
Cash and Cash Equivalents
|
|
|
|
Cash at Bank
|
4,00,000
|
|
|
|
|
Alternative Method: When debentures Issued as Collateral Security are not shown separately
Date
|
Particulars
|
L.F.
|
Debit Amount
Rs
|
Credit Amount
Rs
|
|
|
Bank A/c
|
Dr.
|
|
4,00,000
|
|
|
To Loan From Mahavir Bank Ltd.
|
|
|
4,00,000
|
|
|
(Loan taken from Mahavir Bank secured by issuing Debentures as collateral security)
|
|
|
|
|
|
|
|
|
|
(When Debentures Issued as Collateral Security are not shown separately)
Balance Sheet
|
||
Particulars
|
Note No.
|
Amount
(Rs)
|
I. Equity and Liabilities
|
|
|
1. Shareholders’ Funds
|
|
|
2. Non-Current Liabilities
|
|
|
a. Long-Term Borrowings
|
1
|
4,00,000
|
3. Current Liabilities
|
|
|
Total
|
|
4,00,000
|
|
|
|
II. Assets
|
|
|
1. Non-Current Assets
|
|
|
2. Current Assets
|
|
|
a. Cash and Cash Equivalents
|
2
|
4,00,000
|
Total
|
|
4,00,000
|
|
|
|
NOTES TO ACCOUNTS
Note No.
|
Particulars
|
Amount
(Rs)
|
|
|
|
1
|
Long-Term Borrowings
|
|
|
Secured:
|
|
|
Loan From Mahavir Bank (Secured by issue of 8% Debentures of Rs 4,00,000 as Collateral Security)
|
4,00,000
|
|
|
|
2
|
Cash and Cash Equivalents
|
|
|
Cash at Bank
|
4,00,000
|
|
|
|
Page No 9.39:
Answer:
Exe Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
2. Non-Current Liabilities |
|
|
a. Long-Term Borrowings |
1 |
5,00,000 |
3. Current Liabilities |
|
|
Total |
|
5,00,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
5,00,000 |
Total |
|
5,00,000 |
|
|
|
NOTES TO ACCOUNTS
Note No. |
Particulars |
Amount (Rs) |
1 |
Long-Term Borrowings |
|
|
Loan (Secured by issue of 9% Debentures of Rs 6,00,000 as Collateral Security) |
5,00,000 |
|
|
|
2 |
Cash and Cash Equivalents |
|
|
Cash at Bank |
5,00,000 |
|
|
|
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Loan A/c |
|
|
5,00,000 |
|
|
(Loan taken against issuing 9% Debentures as collateral Security) |
|
|
|
|
|
|
|
|
|
Alternative Method:
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bank A/c |
Dr. |
|
5,00,000 |
|
|
To Loan A/c |
|
|
5,00,000 |
|
|
(Loan taken against issuing 9% debentures as collateral Security) |
|
|
|
|
|
|
|
|
|
|
|
Debenture Suspense A/c |
Dr. |
|
6,00,000 |
|
|
To 9% Debentures A/c |
|
|
6,00,000 |
|
|
(Issued 9% Debentures of Rs 6,00,000 as collateral security) |
|
|
|
|
|
|
|
|
|
Posting in the Company's Balance Sheet
Exe Ltd. |
||
Balance Sheet |
||
Particulars |
Note No. |
Amount (Rs) |
I. Equity and Liabilities |
|
|
1. Shareholders’ Funds |
|
|
2. Non-Current Liabilities |
|
|
a. Long-Term Borrowings |
1 |
5,00,000 |
3. Current Liabilities |
|
|
Total |
|
5,00,000 |
|
|
|
II. Assets |
|
|
1. Non-Current Assets |
|
|
2. Current Assets |
|
|
a. Cash and Cash Equivalents |
2 |
5,00,000 |
Total |
|
5,00,000 |
|
|
|
Note No.
|
Particulars
|
Amount
(Rs)
|
|
1
|
Long-Term Borrowings
|
|
|
|
Secured:
|
|
|
|
Loan (Secured by issue of 9% Debentures of
Rs 6,00,000 as Collateral Security)
|
5,00,000
|
|
|
9% Debentures (Issued as Collateral Security to Bank against loan)
|
6,00,000 |
|
|
Less: Debenture Suspense Account
|
6,00,000
|
-
|
|
|
5,00,000
|
|
2
|
Cash and Cash Equivalents
|
|
|
|
Cash at Bank
|
5,00,000
|
|
|
|
|
Page No 9.39:
Answer:
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
(a) |
Bank A/c |
Dr. |
|
95 |
|
|
To Debenture Application A/c |
|
|
95 |
|
|
(Debenture application money received) |
|
|
|
|
|
|
|
|
|
|
|
Debenture Application A/c |
Dr. |
|
95 |
|
|
Discount on Issue of Debentures A/c |
|
|
5 |
|
|
To Debenture A/c |
|
|
100 |
|
|
(Debenture of Rs 100 each issued at Rs 95 with the term repayable at par) |
|
|
|
|
|
|
|
|
|
|
(b) |
Bank A/c |
Dr. |
|
95 |
|
|
To Debenture Application A/c |
|
|
95 |
|
|
(Debenture application money received) |
|
|
|
|
|
|
|
|
|
|
|
Debenture Application A/c |
Dr. |
|
95 |
|
|
Discount on Issue of Debentures A/c |
Dr. |
|
5 |
|
|
Loss on Issue of Debentures A/c |
Dr. |
|
5 |
|
|
To Debentures A/c |
|
|
100 |
|
|
To Premium on Redemption A/c |
|
|
5 |
|
|
(Debenture of Rs 100 each issued of Rs 95 with the term repayable at Rs 105) |
|
|
|
|
|
|
|
|
|
|
(c) |
Bank A/c |
Dr. |
|
100 |
|
|
To Debenture Application A/c |
|
|
100 |
|
|
(Debenture Application received) |
|
|
|
|
|
|
|
|
|
|
|
Debenture Application A/c |
Dr. |
|
100 |
|
|
Loss on Issue of Debentures A/c |
Dr. |
|
5 |
|
|
To Debentures A/c |
|
|
100 |
|
|
To Premium on Redemption A/c |
|
|
5 |
|
|
(Debenture of Rs 100 each issued at par with the term repayable at Rs 105) |
|
|
|
|
|
|
|
|
|
Page No 9.40:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 10,00,000 | |||
To Debenture Application and Allotment A/c
|
10,00,000 | ||||
Applications received for 10,000, debentures of Rs 100 each) | |||||
Debenture Application and Allotment A/c | Dr. | 10,00,000 | |||
Loss on Issue of Debentures A/c | Dr. | 1,00,000 | |||
To _% Debentures A/c
|
10,00,000 | ||||
To Premium on Redemption of Debentures A/c
|
1,00,000 | ||||
(Debentures issued at par and redeemable at premium) | |||||
Page No 9.40:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 1,00,000 | |||
To Debenture Application and Allotment A/c
|
1,00,000 | ||||
(Applications received for Rs 1,00,000, 7% debentures) | |||||
Debenture Application and Allotment A/c | Dr. | 1,00,000 | |||
Loss on Issue of Debentures A/c | Dr. | 5,000 | |||
To 7% Debentures A/c
|
1,00,000 | ||||
To Premium on Redemption of Debentures A/c
|
5,000 | ||||
(Debentures issued at par and redeemable at premium) | |||||
Page No 9.40:
Answer:
(i)
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 2,00,00,000 | |||
To Debenture Application and Allotment A/c
|
2,00,00,000 | ||||
(Applications received for 4,00,000, 9% debentures of Rs 50 each) | |||||
Debenture Application and Allotment A/c | Dr. | 2,00,00,000 | |||
Loss on Issue of Debentures A/c | Dr. | 20,00,000 | |||
To 9% Debentures A/c
|
2,00,00,000 | ||||
To Premium on Redemption of Debentures A/c
|
20,00,000 | ||||
(Debentures issued at par and redeemable at premium) | |||||
(ii)
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 2,10,00,000 | |||
To Debenture Application and Allotment A/c
|
2,10,00,000 | ||||
(Applications received for 4,00,000, 9% debentures of Rs 50 each) | |||||
Debenture Application and Allotment A/c | Dr. | 2,10,00,000 | |||
Loss on Issue of Debentures A/c | Dr. | 20,00,000 | |||
To 9% Debentures A/c
|
2,00,00,000 | ||||
To Premium on Redemption of Debentures A/c
|
20,00,000 | ||||
To Securities Premium A/c
|
10,00,000 | ||||
(Debentures issued at premium and redeemable at premium) | |||||
Page No 9.40:
Answer:
Books of Footfall Ltd. |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bank A/c |
Dr. |
|
9,00,000 |
|
|
To Debenture Application A/c |
|
|
9,00,000 |
|
|
(Debenture application money received for 10,000 debentures at Rs 90 each) |
|
|
|
|
|
|
|
|
|
|
|
Debenture Application A/c |
Dr. |
|
9,00,000 |
|
|
Discount on Issue of Debenture A/c |
Dr. |
|
1,00,000 |
|
|
Loss on issue of Debentures A/c |
Dr. |
|
50,000 |
|
|
To Debentures A/c |
|
|
10,00,000 |
|
|
To Premium on Redemption A/c |
|
|
50,000 |
|
|
(10,000 Debentures of Rs 100 each issued at 10% discount with the term repayable at 5% redemption) |
|
|
|
|
|
|
|
|
|
|
|
Debentures A/c |
Dr. |
|
10,00,000 |
|
|
Premium on Redemption A/c |
Dr. |
|
50,000 |
|
|
To Debentureholders’ A/c |
|
|
10,50,000 |
|
|
(Debentures due for redemption along with premium on redemption) |
|
|
|
|
|
|
|
|
|
|
|
Debentureholders’ A/c |
Dr. |
|
10,50,000 |
|
|
To Bank A/c |
|
|
10,50,000 |
|
|
(Amount due for redemption paid to debenture holders) |
|
|
|
|
|
|
|
|
|
Page No 9.40:
Answer:
Journal
|
|||||
Date
|
Particulars
|
L.F.
|
Debit Amount
Rs
|
Credit Amount
Rs
|
|
|
Bank A/c
|
Dr.
|
|
9,00,000
|
|
|
To Debenture Application A/c
|
|
|
9,00,000
|
|
|
(Debenture application money received for 10,000 debentures at Rs 90 each)
|
|
|
|
|
|
|
|
|
|
|
|
Debenture Application A/c
|
Dr.
|
|
9,00,000
|
|
|
Discount on Issue of Debenture A/c
|
Dr.
|
|
1,00,000
|
|
|
Loss on Issue of Debenture A/c
|
Dr.
|
|
1,00,000
|
|
|
To Debentures A/c
|
|
|
10,00,000
|
|
|
To Premium on Redemption A/c
|
|
|
1,00,000
|
|
|
(10,000 Debenture of Rs 100 each issued at 10% discount with the term repayable at a premium of 10%)
|
|
|
|
|
|
|
|
|
|
|
|
Debentures A/c
|
Dr.
|
|
10,00,000
|
|
|
Premium on Redemption A/c
|
Dr.
|
|
1,00,000
|
|
|
To Debentureholders’ A/c
|
|
|
11,00,000
|
|
|
(Amount of Debentures due for redemption along with premium on redemption)
|
|
|
|
|
|
|
|
|
|
|
|
Debentureholders’ A/c
|
Dr.
|
|
11,00,000
|
|
|
To Bank A/c
|
|
|
11,00,000
|
|
|
(Amount due for redemption paid to debenture holders)
|
|
|
|
|
|
|
|
|
|
Page No 9.40:
Answer:
Journal
|
|||||
Date
|
Particulars
|
L.F.
|
Debit Amount
Rs
|
Credit Amount
Rs
|
|
|
Bank A/c
|
Dr.
|
|
95,000
|
|
|
To 9% Debenture Application A/c
|
|
|
95,000
|
|
|
(Debenture application money received)
|
|
|
|
|
|
|
|
|
|
|
|
9% Debenture Application A/c
|
Dr.
|
|
95,000
|
|
|
Discount on Issue of Debentures A/c
|
Dr.
|
|
5,000
|
|
|
Loss on Issue of Debentures A/c
|
Dr.
|
|
10,000
|
|
|
To 9% Debentures A/c
|
|
|
1,00,000
|
|
|
To Premium on Redemption A/c
|
|
|
10,000
|
|
|
(9% Debentures issued at 5% discount with term repayable at 10% premium)
|
|
|
|
|
|
|
|
|
|
Page No 9.40:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 75,00,000 | |||
To Debenture Application and Allotment A/c
|
75,00,000 | ||||
(Applications received for 75,000, 8% debentures of Rs 100 each) | |||||
Debenture Application and Allotment A/c | Dr. | 75,00,000 | |||
To 8% Debentures A/c
|
75,00,000 | ||||
(Debentures issued at par, redeemable at par) | |||||
Page No 9.40:
Answer:
Journal | |||||
Date | Particulars | L.F. | Debit Amount (Rs) |
Credit Amount (Rs) |
|
Bank A/c | Dr. | 18,40,000 | |||
To Debenture Application and Allotment A/c
|
18,40,000 | ||||
(Applications received for 40,000, 9% debentures of Rs 50 each at a discount of 8%) | |||||