X.Ltd. redeemed 1,000, 12% debentures of Rs.50 each by converting them into 15% New Debentures of Rs.100 each. Journalise.

Open in App

Solution

In the books of X. Ltd.

Date

Particulars

L.F.

Debit

Amount

Rs

Credit

Amount

Rs

12% Debentures A/c

Dr.

50,000

To Debenture Holders

50,000

(Amount of debentures due to Debenture Holders)

Debenture Holders

Dr.

50,000

To 15% Debentures A/c

50,000

(15% Debentures issued to Debenture Holders in

lieu of 1000 12% Debentures @ 100 each)

Working Notes:-

Number of Debentures to be issued

Suggest Corrections

Similar questions

Q. X Ltd redeemed 1,000, 12% debentures of Rs. 50 each by converting them into 15% New Debentures of Rs. 100 each Journalise.

Z.Ltd. redeemed 2,000, 12% debentures of Rs.100 each which were issued at a discount of 5%, by converting them into equity shares of Rs.10 each issued at a premium of 25%. Journalise.

Q. Y Ltd redeemed 4,800,

12 %

debentures of Rs 100 each which were issued at par, at 110 per cent by converting them into equity shares of Rs 10 each issued at a discount of

4 %

. Journalise.

Q. Pass necessary journal entries in the following cases :
(i)

Z

Ltd redeemed

1500

12 %

debentures of Rs

100

each issued at a discount of

6 %

by converting them into equity shares of Rs

100

each issued at a premium of Rs

25

per share.
(ii)

X

Ltd. converted

1, 000, 12 %

debentures of Rs

100

each issued at a discount of Rs

10

per debenture into equity shares of Rs

100

each Rs

90

paid up.

Q. A Ltd redeemed 8,000, 12% debentures of Rs. 100 each which were issued at a discount of 5%, by converting them into equity shares of Rs. 10 each at par.

Join BYJU'S Learning Program

In the books of X. Ltd.
Date	Particulars		L.F.	Debit Amount Rs	Credit Amount Rs
	12% Debentures A/c	Dr.		50,000
	To Debenture Holders				50,000
	(Amount of debentures due to Debenture Holders)

	Debenture Holders	Dr.		50,000
	To 15% Debentures A/c				50,000
	(15% Debentures issued to Debenture Holders in lieu of 1000 12% Debentures @ 100 each)