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Romi Ltd. purchased 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. They paid the purchase consideration by issuing 12% debentures of Rs. 100 each at a premium of 5%. What will be the number of debentures issued by Romi Ltd.

Solution

✅ Correct Option: 3

Issue price per debenture = 100+5%=105100 + 5\% = 105

Number of debentures = Purchase Consideration / Issue Price

=3,15,000/105=3,000= 3,15,000 / 105 = 3,000 debentures

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