Pass the necessary Journal entries in the books of A B Ltd. for the followingtransactions:(i) Issued 5,00,000 12% debentures of Rs. 100 each at a discount of 6% repayable at a premium of 6%.(ii) Converted 100, 12% debentures of Rs. 100 each into 9% preference shares of Rs. 100 each issued at a premium of 25%.(iii) Converted 100, 12% debentures of Rs. 100 each issued at a discount of Rs. 10 each.
Pass the necessary Journal entries in the books of A B Ltd. for the followingtransactions:(i) Issued 5,00,000 12% debentures of Rs. 100 each at a discount of 6% repayable at a premium of 6%.(ii) Converted 100, 12% debentures of Rs. 100 each into 9% preference shares of Rs. 100 each issued at a premium of 25%.(iii) Converted 100, 12% debentures of Rs. 100 each issued at a discount of Rs. 10 each.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Pass the necessary
transactions:
(i) Issued 5,00,000 12% debentures of Rs. 100 each at a discount of 6% repayable at a premium of 6%.
(ii) Converted 100, 12% debentures of Rs. 100 each into 9%
(iii) Converted 100, 12% debentures of Rs. 100 each issued at a discount of Rs. 10 each.
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