Question

2010 Rama Limited purchased a nmning business from Kamal Traders and it was decided to pay for
purchase consideration as = 3,00,000 by cheque and for the balance issued 10,000 9%Debentures of 3
100 each at 10% premium
The assets and habilities consisted of the following
Particulars
Book Value (2) Agreed value
Plant and Vachmen
Buildings
10.00.000
Stock
5.00.000
Sunday debtors
4.00.000
3,00.000
Sundry creditors
2.50.000 2.00.000
Record necessary joumal entries in the bookes of Raman Limited
c) On 1st May, 2019 VKRLtd. issued 10,000,9%. Debentures of 100 each at a discount of 10%
redeemable at par after five years. All the Debentures were subscribed. It has a balance of 260.000 m
Securities Premium Reserve which the company decided to use for writing off the losses and also
decided to unite of the remaining discount on issue of debentures and uniting off the discount Pass
necessary Joumal entries
for Isaue of Debenture: and write of Discount on 133ue of Debenture:​

Answer 1

Answer:

2.00.000

Record necessary joumal entries in the bookes of Raman Limited

c) On 1st May, 2019 VKRLtd. issued 10,000,9%. Debentures of 100 each at a discount of 10%

redeemable at par after five years. All the Debentures were subscribed. It has a balance of 260.000 m

Securities Premium Reserve which the company decided to use for writing off the losses and also

decided to unite of the remaining discount on issue of debentures and uniting off the dis