Debentures can be issued at

(A) Par

(B) Premium

(C) Discount

(D) Transaction value

Choose the correct answer from the options given below:

Debentures are debt instruments that a company can issue to raise funds. The pricing of these debentures at the time of issue can be done in three standard ways:

At Par: When the issue price equals the face value (nominal value) of the debenture. For example, if face value is ₹100, issue price is also ₹100.

At Premium: When the issue price is more than the face value. For example, if face value is ₹100, issue price might be ₹105. The difference of ₹5 is the premium, which is credited to Securities Premium Reserve account.

At Discount: When the issue price is less than the face value. For example, if face value is ₹100, issue price might be ₹95. The difference of ₹5 is the discount, which is written off gradually over the life of the debenture.

Analyzing option (D) - "Transaction value" is not a standard accounting term used to describe the method of issuing debentures. The recognized methods are only at par, premium, or discount.

Therefore, statements (A), (B), and (C) are correct ways in which debentures can be issued.

Option 2 is the most appropriate answer as it correctly identifies the three standard methods of issuing debentures: Par, Premium, and Discount.