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Issue of Debentures as Collateral Security

There are met...

Question

There are _____ methods of recording issue of debentures as a collatral security.

A

1

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B

2

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C

3

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D

4

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Solution

The correct option is B 2
There are two methods of recording issue of debentures as a collateral security.
1. When journal entry is not passed
2. When jounral entry is passed.

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Q. When debentures are issued as collateral security, the final entry for recording the transaction in the books is ________________.

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(i) When company decided not to record the issue of 10% Debentures as Collateral Security.
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Issue of Debentures as Collateral Security

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