Company Accounts

Debentures

Easy

When the number of Debentures applied for is more than the number of debentures offered to public, the issue is said to be:

Under subscribed

Over subscribed

Fully subscribed

Pro-rata basis allotment

✅ Correct Option: 2

When applications received exceed the number of debentures offered, the issue is termed over subscribed. If applications are less than offered it is under subscribed, and if equal it is fully subscribed. Pro-rata allotment is a method of dealing with over subscription, not the term for the situation itself.

2023: 29 May Shift 2

Identify those debentures on which no interest will be paid/provided.

2025: 26 May Shift 2

When debentures are issued at par and are redeemable at a premium, the loss on such issue is debited to :

2025: 14 May Shift 2

XYZ Ltd. purchased assets worth Rs. 3,00,000 from Blue Prints Ltd., and took over its liabilities worth Rs. 20,000 for a purchase consideration of Rs. 3,15,000. XYZ Ltd. paid the purchase consideration by issuing 12% debentures of Rs. 100 each at a premium of 5%.

How many debentures would be issued, if debentures were issued at par?

2023: 11 June Shift 3

Redemption of Debenture can be done by many ways. Identify the wrong option.

2022: 20 Aug Shift 2

Blue Prints Ltd. purchased a building worth Rs. 1,50,000, Machinery worth Rs. 1,40,000 and Furniture worth Rs. 10,000 from XYZ Co. and took over its liabilities of Rs. 20,000 for a purchase consideration of Rs. 3,15,000.

Calculate the Goodwill/Capital Reserve to be recorded by Blue Print Ltd.

2022: 8 Aug Shift 2

After the debentures are redeemed, the balance in the Sinking Fund Account is transferred to:

When the number of Debentures applied for is more than the number of debentures offered to public, the issue is said to be:

Solution

Related questions:

Keyboard Shortcuts

CUET Accountancy Past Year Questions (Topic-Wise)