Question

While making payment of 14% debentures to debenture holders, what journal entry we pass?

• A. Debentureholders A/c Dr. To Bank A/c
• B. Bank A/c Dr. To Debentureholders A/c
• C. 14% Debentures A/c Dr. To Bank A/c
• D. Bank A/c Dr. To 14% Debentures A/c

Answer 1

The correct option is A

Debentureholders A/c Dr.

To Bank A/c

While making payment to debenture holders., the journal entry is -

Debentureholders A/c Dr.

To Bank A/c