Issued at Premium and Redeemed at Premium

Q.

When debentures are issued at premium & redeemed at premium, the premium on redemption of debentures account is ___

1. Credited

2. None of these

3. Not effected

4. Debited

Q.

When debentures are issued at premium & redeemed at premium, the premium on redemption of debentures account is credited with ___

1. None of these

2. Premium on issue of debentures

3. Nominal value of the debentures

4. Premium on redemption

Q.

When debentures are issued at premium & redeemed at premium, the loss on issue of debentures account is debited with ___

1. Not debited

2. Premium on redemption

3. Premium on issue of debentures

4. Nominal value of the debentures

Q.

When debentures are issued at premium & redeemed at premium, the debentures account is credited with ___

1. All of these

2. Premium on issue of debentures

3. Nominal value of the debentures

4. Premium on redemption

Q.

The journal entry for recognition of premium on redemption is :

1. None of these

2. Profit or loss A/c Dr

   To Discount on issue of Debentures A/c

3. Loss on Issue of Debentures A/c Dr.

   To Premium on redemption of Debentures A/c

4. Profit or loss A/c Dr

   To Loss on issue of Debentures A/c

Q.

When debentures are issued at premium & redeemed at premium, the securities premium account is credited with ___

1. Nominal value of the debentures

2. Premium on redemption

3. None of these

4. Premium on issue of debentures

Q. When shares are issued at premium and redeemed at premium, the account is debited while making the payment to debentureholders.

1. debentures
2. bank
3. application
4. debenture-holders

Q. When the money for application of debentures is received, we will debit account.

1. debentures
2. bank
3. application
4. debenture-holders

Q. When debentures are issued at premium & redeemed at premium, the debentures account is credited with of debentures.

1. discount amount
2. premium amount
3. nominal value
4. issue price