Accountancy, asked by arunsaroha3052, 1 year ago

What is meant by premium on redemption of debentures?

Answers

Answered by gauravarduino

Explanation:

Premium on redemption of debentures/preference shares is the amount paid to the debentureholders/preference shareholders in excess of face value of debentures/shares, at the time of redemption. Mathematically speaking, premium on redemption = Redemption value- Face value.

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