CameraIcon

SearchIcon

MyQuestionIcon

1

You visited us 1 times! Enjoying our articles? Unlock Full Access!

Oversubscription of Debentures

On 1st April,...

Question

On 1st April, 2016, following were the balances of Blue Bird Ltd.:

10% Debentures (redeemable on 30th September, 2017) ₹ 15,00,000

Debentures Redemption Reserve ₹ 2,00,000

The company met the requirements of the Companies Act, 2013 regarding Debentures Redemption Reserve and Investment and redeemed the debentures.
Pass necessary Journal entries for the above transactions in the books of the company.

Open in App

Solution

Suggest Corrections

thumbs-up

0

Similar questions

Q. On 1st April, 2014, following were the balances of Blue Bird Ltd.:
10% Debentures (redeemable on 30th September, 2017) ₹ 15,00,000
Debentures Redemption Reserve ₹ 2,00,000
The company met the requirements of the Companies Act, 2013 regarding Debentures Redemption Reserve and Investment and redeemed the debentures.
Pass necessary journal entries for the above transactions in the books of the company.

Q. On 1st April, 2013 the following balances appeared in the books of Blue and Green Ltd.:
12%Debentures (Redeemable on 31st August, 2015) ₹ 20,00,000
Debentures Redemption Reserve ₹ 2,00,000.
The company met the requirements of Companies Act, 2013 regarding Debentures Redemption Reserve and Debentures Redemption Investments and redeemed the debentures.
Ignoring interest on investments, pass necessary journal entries for the above transactions in the books of company.

Q. Rich sugar Ltd. issued ₹ 20 Lakh,8% Debentures divided into debentures of ₹ 100 each on 1st April, 2013, redeemable in four equal annual installments starting from 31st March,2016. The company decided to transfer to Debentures Redemption Reserve ₹ 2,50,000 each year on 31st March,2014 and 2015.
The company invested ₹ 3,00,000 in Government securities as required by the Companies Act, 2013.
Pass necessary journal entries for the above transactions.

Q. On 31st March, 2016, W Ltd. had the following balances in its books: ₹
9% Debentures 6,00,000
Debentures Redemption Reserve 50,000
Surplus,i.e., Balance in Statement of Profit and Loss 3,00,000

On that date, the company decided to transfer ₹ 1,00,000 to Debentures Redemption Reserve . It also decided to redeem debentures of ₹ 3,00,000 on 30th June , 2016.
Pass necessary journal entries in the books of the company.

Q. Apollo Ltd.issued 21,000; 8% Debentures of ₹ 100 each on 1st April, 2013 redeemable at a premium of 8% on 30th June, 2019. The company decided to transfer the required amount to Debentures Redemption Reserve in three equal annual instalments starting with 31st March, 2017. Required investment was made in Government Securities on 30th April, 2019. Ignore interest on debentures and also investment.
Pass necessary Journal entries regarding issue, transfer to DRR, investment, and redemption of debentures.

View More

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

Undersubscription

ACCOUNTANCY

Watch in App

explore_more_icon

Explore more

Oversubscription of Debentures

Standard XII Accountancy

Join BYJU'S Learning Program

CrossIcon