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X Ltd. purchased assets from Y Ltd. for Rs.98,10,000. X Ltd. issued 12% Debentures of Rs.100 each at 10% discount against the payment. The number of debentures issued to Y Ltd. is:

Solution

✅ Correct Option: 4

Issue price per debenture at 10% discount = 100 - 10 = Rs.90.

Number of debentures = Purchase consideration / Issue price = 98,10,000 / 90 = 1,09,000 debentures.

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