M.Ltd. took over assets of Rs 9,00,00,000 and liabilities of Rs 70,00,000 of S.Ltd. and issued 8%Debenture of Rs 100 each. Record necessary entries in the books of M. Ltd.

Open in App

Solution

Books of M. Ltd.

Journal

Date

Particulars

L.F.

Debit

Amount

Rs

Credit

Amount

Rs

Sundry Assets

Dr.

9,00,00,000

To Sundry Liabilities A/c

70,00,000

To S.Ltd.

8,30,00,000

(Assets and liabilities of S. Ltd. taken over)

S. Ltd.

Dr.

8,30,00,000

To 8% Debenture A/c

8,30,00,000

(8,30,000 8% debentures @ 100 each issued to S Ltd. in

consideration of assets and liabilities)

Suggest Corrections

Similar questions

M Ltd took over assets of Rs.9,00,00,000 and liabilities of Rs.70,00,000 of S Ltd and issued 8% Debentures of Rs.100 each. Record necessary entries in the books of M Ltd.

Sico Ltd. took over the assets of Rs 4,80,000 and liabilities of Rs 80,000 of Mittal Ltd. for a consideration of Rs 3,20,000. Rs 20,000 were paid by an acceptance in favour of Mittal Ltd. payable after 3 months and the balance by issue of fully paid $8 %$ Preference Shares of Rs 100 each at a premium of $50 %$ . Pass the necessary journal entries for the above transactions in the books of Sico Ltd.

Q. B' Ltd. took over the assets of Rs.

14, 00, 000

and liabilities of Rs.

4, 00, 000

of C Ltd. for a purchase consideration of Rs.

9, 19, 000

. Rs.

17, 000

were paid by a bank draft in favour of C Ltd. and the balance was paid by issue of equity shares of Rs.

10

each at a premium of

10 %

in favour of C Ltd.
Pass necessary journal entries for the above transactions in the books of B Ltd.

Q. Romi Ltd. acquired assets of ₹ 20 lakhs and took over creditors of ₹ 2 lakhs from Kapil Enterprises.
Romi Ltd. issued 8% Debentures of ₹ 100 each at a discount of 25% as purchase consideration.
Record necessary journal entries in the books of Romi Ltd.

A. Ltd. issued 90,00,000, 9% Debenture of Rs 50 each at a discount of 8%, redeemable at par any time after 9 years. Record necessary entries in the books of A. Ltd.

Join BYJU'S Learning Program

Books of M. Ltd. Journal
Date	Particulars			L.F.	Debit Amount Rs	Credit Amount Rs
	Sundry Assets		Dr.		9,00,00,000
		To Sundry Liabilities A/c				70,00,000
		To S.Ltd.				8,30,00,000
	(Assets and liabilities of S. Ltd. taken over)

	S. Ltd.		Dr.		8,30,00,000
		To 8% Debenture A/c				8,30,00,000
	(8,30,000 8% debentures @ 100 each issued to S Ltd. in consideration of assets and liabilities)