Question
36:
On 1st April, 2018, Sakshi Ltd. issued 1,000, 11%
Debentures of ₹ 100 each at a discount of 6%, redeemable at a premium of
5% after three years.
Pass the necessary Journal entries for the issue of
debentures in the books of Sakshi Ltd. (CBSE 2020)
Answer:
|
Books of Sakshi Ltd. |
|||||
|
Journal |
|||||
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
|
Bank
A/c |
Dr. |
|
94,000 |
|
|
|
To Debenture Application A/c |
|
|
94,000 |
|
|
|
(Being
Application Money Received for 1,000 at ₹94) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debenture Application A/c Dr. |
|
94,000 |
|
|
|
|
Discount on issue of Debenture A/c Dr. |
|
6,000 |
|
|
|
|
Loss on Redemption on Debenture A/c Dr. |
|
5,000 |
|
|
|
|
To 11% Debentures A/c |
|
|
1,00,000 |
|
|
|
To Premium on redemption of debenture A/c |
|
|
5,000 |
|
|
|
(Being 1,60,000, 11% Debentures issued of ₹
100 each at a premium of at ₹6) |
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|
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|
||
Question 37:
Care Cosmetics Ltd. issued 50,000; 9%6 Debentures of ₹ 10 each on 1st
April, 2021 redeemable at a premium of 10% after 10 years. According to the
terms of issue, ₹ 4 is payable on application and balance on allotment of
debentures. Record necessary Journal entries regarding issue of debentures.
Answer:
|
Books of Care Cosmetics Ltd. |
|
|||||
|
Journal |
|
|||||
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
|
1-4-2021 |
Bank
A/c |
Dr. |
|
2,00,000 |
|
|
|
|
To Debenture Application A/c |
|
|
2,00,000 |
|
|
|
|
(Being
Application Money received for 50,000 debenture for ₹4) |
|
|
|
|
|
|
1-4-2021 |
Debenture Application A/c Dr. |
|
2,00,000 |
|
|
|
|
|
To 9%
Debenture A/c |
|
|
2,00,000 |
|
|
|
|
(Being interest paid) |
|
|
|
|
|
|
1-4-2021 |
Debenture Allotment A/c Dr. |
|
3,00,000 |
|
|
|
|
|
Loss on Redemption on Debenture A/c Dr. |
|
30,000 |
|
|
|
|
|
To 9% Debenture A/c |
|
|
3,00,000 |
|
|
|
|
To Premium on redemption of debenture A/c |
|
|
30,000 |
|
|
|
|
(Being
interest allowed on debenture) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Question 38:
Chiranjeevi Limited issued 2,000, 10% Debentures of 100 each.
Pass the necessary Journal entries for the issue of debentures in the following
cases:
(a) When debentures
were issued at 10% premium, redeemable at 5% premium.
(b) When debentures
were issued at 5% discount, redeemable at 10% premium.
(c) When debentures
were issued at par, redeemable at a premium of 10%. (CBSE 2023)
Answer:
(Case-1)
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
Bank A/c |
Dr. |
|
2,20,000 |
|
|
|
|
To
Debenture Application and Allotment A/c |
|
|
|
2,20,000 |
|
|
(Application money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debenture
Application and Allotment A/c |
Dr. |
|
2,20,000 |
|
|
|
Loss
On Issue of debentures A/c |
Dr. |
|
10,000 |
|
|
|
To
9% Debentures A/c |
|
|
|
2,00,000 |
|
|
To
Securities Premium Reserve A/c |
|
|
|
20,000 |
|
|
To
Premium on Redemption of debentures A/c |
|
|
|
10,000 |
|
|
(2,000; 9% Debentures issued of ₹100 each at a
premium of 9% and redeemable at a premium of 5%) |
|
|
|
|
|
|
|
|
|
|
|
(Case-2)
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
Bank A/c |
Dr. |
|
1,90,000 |
|
|
|
|
To
Debenture Application and Allotment A/c |
|
|
|
1,90,000 |
|
|
(Application money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debenture
Application and Allotment A/c |
Dr. |
|
1,90,000 |
|
|
Discount
On Issue of debentures A/c |
Dr. |
10,000 |
|||
|
|
Loss
On Issue of debentures A/c |
Dr. |
|
20,000 |
|
|
|
To
9% Debentures A/c |
|
|
|
2,00,000 |
|
|
To
Premium on Redemption of debentures A/c |
|
|
|
20,000 |
|
|
(2,000; 9% Debentures issued of ₹100 each at a
Discount of 5% and redeemable at a premium of 9%) |
|
|
|
|
|
|
|
|
|
|
|
(Case-3)
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
Bank A/c |
Dr. |
|
2,00,000 |
|
|
|
|
To
Debenture Application and Allotment A/c |
|
|
|
2,00,000 |
|
|
(Application money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debenture
Application and Allotment A/c |
Dr. |
|
2,00,000 |
|
|
|
Loss
On Issue of debentures A/c |
Dr. |
|
20,000 |
|
|
|
To
9% Debentures A/c |
|
|
|
2,00,000 |
|
|
To
Premium on Redemption of debentures A/c |
|
|
|
20,000 |
|
|
(2,000; 9% Debentures issued of ₹100 each at a
par and redeemable at a premium of 9%) |
|
|
|
|
|
|
|
|
|
|
|
Question 39:
Pass necessary Journal
entries for the issue of debentures in the following cases:
(i)
Issued ₹75,00,000, 9% Debentures of
₹100 each at a premium of 10% redeemable at a premium
of 5% after 3 years.
(ii) Issued 8,000, 9%
Debentures of ₹100 each at a discount of 6% redeemable at a premium
of 3% after 5 years.
(iii) Issued 90,000, 9%
Debentures of ₹100 each at par, redeemable at par after 4 years.
(CBSE 2023)
Answer:
(Case-1)
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
Bank A/c |
Dr. |
|
82,50,000 |
|
|
|
|
To
Debenture Application and Allotment A/c |
|
|
|
82,50,000 |
|
|
(Application money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debenture
Application and Allotment A/c |
Dr. |
|
82,50,000 |
|
|
|
Loss
On Issue of debentures A/c |
Dr. |
|
3,75,000 |
|
|
|
To
9% Debentures A/c |
|
|
|
75,00,000 |
|
|
To
Securities Premium Reserve A/c |
|
|
|
7,50,000 |
|
|
To
Premium on Redemption of debentures A/c |
|
|
|
3,75,000 |
|
|
(75,000; 9% Debentures issued of ₹100 each at
a premium of 9% and redeemable at a premium of 5%) |
|
|
|
|
|
|
|
|
|
|
|
(Case-2)
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
Bank A/c |
Dr. |
|
7,52,000 |
|
|
|
|
To
Debenture Application and Allotment A/c |
|
|
|
7,52,000 |
|
|
(Application money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debenture
Application and Allotment A/c |
Dr. |
|
7,52,000 |
|
|
Discount
On Issue of debentures A/c |
Dr. |
48,000 |
|||
|
|
Loss
On Issue of debentures A/c |
Dr. |
|
24,000 |
|
|
|
To
9% Debentures A/c |
|
|
|
8,00,000 |
|
|
To
Premium on Redemption of debentures A/c |
|
|
|
24,000 |
|
|
(8,000; 9% Debentures issued of ₹100 each at a
Discount of 6% and redeemable at a premium of 3%) |
|
|
|
|
|
|
|
|
|
|
|
Case-3)
|
Date |
Particular |
L.F. |
Debit ₹ |
Credit ₹ |
|
|
Bank A/c |
Dr. |
|
90,00,000 |
|
|
|
|
To
Debenture Application and Allotment A/c |
|
|
|
90,00,000 |
|
|
(Application money received) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debenture
Application and Allotment A/c |
Dr. |
|
90,00,000 |
|
|
|
To
9% Debentures A/c |
|
|
|
90,00,000 |
|
|
(90,000; 9% Debentures issued of ₹100 each at a
par and redeemable at a par) |
|
|
|
|
|
|
|
|
|
|
|
Question
40:
Pass necessary Journal entries for the issue of debentures for the following
transactions:
(i) Kajal Ltd. issued 30,000, 11%
Debentures of ₹100 each at a discount of 10%, redeemable at a premium of
5%.
(ii)
Ninja Ltd. issued 32,000, 8% Debentures of ₹100 each at a premium of
₹20 per debenture, redeemable at a premium of ₹10 per debenture.
(iii) Him Ltd. issued 40,000, 13% Debentures of ₹100
each at par, redeemable at a premium of 10%. (CBSE 2024)
Answer:
|
Journal |
|||||
|
Date |
Particulars |
|
L.F. |
(Dr.) ₹ |
(Cr.) ₹ |
|
(i) |
Bank A/c |
Dr. |
|
27,00,000 |
|
|
|
To
Debentures Application and Allotment A/c |
|
|
|
27,00,000 |
|
|
(Being Bing application money received for 30,000,
11% debentures) |
|
|
|
|
|
|
Debentures Application and Allotment A/c |
Dr. |
|
27,00,000 |
|
|
|
Loss on Issue of Debenture A/c |
Dr. |
|
4,50,000 |
|
|
|
To 11%
Debentures A/c |
|
|
|
30,00,000 |
|
|
To Premium
on Redemption of Debentures A/c |
|
|
|
1,50,000 |
|
|
(Being 30,000, 11% Debentures of 100 each issued at
a discount of 10%, redeemable at a premium of 5%) |
|
|
|
|
|
|
|
|
|
|
|
|
(ii) |
Bank A/c |
Dr. |
|
38,40,000 |
|
|
|
To
Debentures Application and Allotment A/c |
|
|
|
38,40,000 |
|
|
(Being Bing application money received for 32,000,
8% debentures) |
|
|
|
|
|
|
Debentures Application and Allotment A/c |
Dr. |
|
38,40,000 |
|
|
|
Loss on Issue of Debenture A/c |
Dr. |
|
3,20,000 |
|
|
|
To 8%
Debentures A/c |
|
|
|
32,00,000 |
|
|
To
Securities Premium Reserve A/c |
|
|
|
6,40,000 |
|
|
To Premium
on Redemption of Debentures A/c |
|
|
|
3,20,000 |
|
|
(Being 32,000, 8% Debentures of ₹100 each
issued at a premium of ₹ 20 per debenture, redeemable at a premium of
₹10 per debenture.) |
|
|
|
|
|
(iii) |
Bank A/c |
Dr. |
|
40,00,000 |
|
|
|
To
Debentures Application and Allotment A/c |
|
|
|
40,00,000 |
|
|
(Being Bing application money received for 40,000,
13% debentures) |
|
|
|
|
|
|
Debentures Application and Allotment A/c |
Dr. |
|
40,00,000 |
|
|
|
Loss on Issue of Debenture A/c |
Dr. |
|
4,00,000 |
|
|
|
To 8%
Debentures A/c |
|
|
|
40,00,000 |
|
|
To Premium
on Redemption of Debentures A/c |
|
|
|
4,00,000 |
|
|
(Being 40,000, 13% Debentures of ₹100 each
issued at par, redeemable at a premium of 10%) |
|
|
|
|
Ts Grewal Solution 2025-2026
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Class 12 / Volume – 2