Issue of Debentures

Commerce ⇒ Accountancy

Issue of Debentures starts at 12 and continues till grade 12. QuestionsToday has an evolving set of questions to continuously challenge students so that their knowledge grows in Issue of Debentures. How you perform is determined by your score and the time you take. When you play a quiz, your answers are evaluated in concept instead of actual words and definitions used.

See sample questions for grade 12

A company issues 1,000 debentures of Rs. 100 each at a premium of 10%, payable as Rs. 50 on application and balance on allotment. What is the amount received on application?

A company issues 10,000 debentures of Rs. 100 each at par, redeemable at a premium of 10%. What is the amount of loss on issue of debentures?

A company issues 2,000 debentures of Rs. 100 each at a discount of 10%. What amount will be credited to the Debentures Account?

A company issues 2,000 debentures of Rs. 100 each at a discount of 5%, redeemable at a premium of 10%. Calculate the total loss on issue of debentures.

A company issues 3,000 debentures of Rs. 100 each at par, redeemable at a premium of 5%. What is the total amount payable on redemption?

A company issues 5,000 debentures of Rs. 100 each at a premium of 5%. What is the total amount received by the company?

Explain the accounting treatment of discount on issue of debentures.

Explain the accounting treatment when debentures are issued for consideration other than cash.

Explain the difference between registered and bearer debentures.

Explain the difference between secured and unsecured debentures.

Explain the term 'convertible debenture'.

What is a debenture?

What is meant by 'issue of debentures as collateral security'?

What is the effect on the balance sheet when debentures are issued at a discount?

What is the journal entry for the issue of 1,000 debentures of Rs. 100 each at par, payable in full on application?

What is the journal entry for the issue of debentures as collateral security?

What is the purpose of creating a Debenture Redemption Reserve?