From the above data, prepare a Comparative Balance Sheet with comments.
Debenture Valuation
A debenture is a private and long-term debt instrument issued by financial, non-financial institutions, governments, or corporations. A debenture is classified as a type of bond, where the instrument carries a fixed rate of interest, commonly known as the ‘coupon rate.’ Debentures are documented in an indenture, clearly specifying the type of debenture, the rate and method of interest computation, and maturity date.
Note Valuation
It is the process to determine the value or worth of an asset, liability, debt of the company. It can be determined by many processes or techniques. Many factors can impact the valuation of an asset, liability, or the company, like:
The following are the Balance Sheets of XYZ Company Ltd.
(Rs.in lakhs)
|
|
1.1.2020 Rs. |
31.12.2020 Rs. |
|
Assets : |
|
|
|
Net Fixed Assets |
900 |
1,000 |
|
Cash |
50 |
50 |
|
Marketable Securities |
100 |
- |
|
Debtors |
100 |
400 |
|
Stock of Goods |
600 |
800 |
|
Total |
1,750 |
2,250 |
|
Liabilities : |
|
|
|
Equity Shares |
500 |
500 |
|
Reserves |
400 |
600 |
|
Long-term Debt |
100 |
100 |
|
Creditors |
200 |
250 |
|
Payables |
450 |
650 |
|
Provisions |
100 |
150 |
|
Total |
1,750 |
2,250 |
From the above data, prepare a Comparative
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