Question : Guun Limited purchased a running business from Vani Limited for a sum of Rs.25,00,000, payable Rs.4,00,000 by cheque and for the balance issued 8% Debentures of Rs.100 each at 5% premium. The assets and liabilities consisted of the following : Land and Buildings 9,00,000 Plant and Machinery 8,00,000 Patents 40,000 Sundry Debtors 7,00,000 Stock 5,00,000 Sundry Creditors 1,20,000
Question:- Number Of debenture issued is
Option 1: 20,000
Option 2: 32,000
Option 3: 40,000
Option 4: 21,000
Correct Answer: 20,000
Solution : Answer = 20,000
Land and building A/c Dr 9,00,000
Plant and Machinery A/c Dr. 8,00,000
Patent A/c Dr 40000
S. Debtors Dr 7,00,000
Stock A/c Dr 5,00,000
To Creditor - 1,20,000
To Vendor Co - 25,00,000
To Capital Reserve (B/f) 3,20,000
Vendor Co - Dr 25,00,000
To Bank A/c 4,00,000
(20,000x 100) To % Debentures A/c 20,00,000
(20,000x 5) To Securities Premium A/c 1,00,000
$\frac{21,00,000}{105}$= 20,000 Debentures Hence, the correct option is 1.
Question : Guun Limited purchased a running business from Vani Limited for a sum of Rs.25,00,000, payable Rs.4,00,000 by cheque and for the balance issued 8% Debentures of Rs.100 each at 5% premium. The assets and liabilities consisted of the following : Land and Buildings Rs.9,00,000 Plant and Machinery Rs.8,00,000 Patents Rs.40,000 Sundry Debtors Rs.7,00,000 Stock Rs.5,00,000 Sundry Creditors Rs.1,20,000
Question:- Balance of Rs 3,20,000 will be
Option 1: Debited to capital reserve account
Option 2: Credited to securities premium account
Option 3: Credited to capital reserve account
Option 4: Credited to general reserve account
Question : If on 1st April 2018, Sunshine Limited issued 5,000, 8% debentures of Rs.100 each at a discount of 10%. What will be the total amount of interest for the year ending 31st March 2019? (TDS is 10% p.a.)
Option 1: Rs. 36,000
Option 2: Rs. 32,000
Option 3: Rs. 40,000
Option 4: None of the above
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile