debentures are repayable only at the time of closing down a company.

Redeemable

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Irredeemable

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Convertible

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Solution

The correct option is B Irredeemable
Debentures are typically loans that are repayable on a fixed date, but some debentures are redeemable securities. Irredeemable debentures are repayable only at the time of closing down a company.

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Similar questions

________________ are repayable only at the time of closing down a company.

On 1st April, 2012, a Limited Company issued $11 %$ Rs 10,00,000 debentures at a discounr of $6 %$ repayable at the end of 5 years at par. Pass journal entries for the issue of debentures and prepare Discount on Issue of debentures Account for five years. Assume that the accounts are closed on 31st March every year.

A Ltd company issued $9 %$ Debentures of the face value of Rs 6,00,000 at a discount of $5 %$ on 1st April, 2011. The debentures are repayable by annual drawing of Rs 2,00,000 commercing from the end of 4th year.

Show the 'Discount on Issue of Debentures A/c', in the company's ledger for the period of duration of debentures. Accounts are closed on 31st March each year.

A Ltd Company issued Rs 5,00,000 Debentures at a discount of $5 %$ repayable at par by annual drawings of Rs 1,00,000.
Make the necessary ledger accounts in the books of the company for the first year.

A. Ltd. Company issued Rs,5,00,000 Debentures at a discount of 5% repayable at par by annual drawings of Rs.1,00,000.

Make the necessary ledger accounts in the books of the company for the first year.

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debentures are repayable only at the time of closing down a company.

The correct option is B IrredeemableDebentures are typically loans that are repayable on a fixed date, but some debentures are redeemable securities. Irredeemable debentures are repayable only at the time of closing down a company.

The correct option is B Irredeemable
Debentures are typically loans that are repayable on a fixed date, but some debentures are redeemable securities. Irredeemable debentures are repayable only at the time of closing down a company.