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Question -

Y.Ltd. issued 2,000, 6% Debentures of ₹ 100 each payable as follows: ₹ 25 on application; ₹ 50 on allotment and ₹ 25 on First and Final call.



Answer -

Books of Y Ltd.

 

Journal

 

Date

Particulars

L.F.

Debit

Amount

Credit

Amount

Bank A/c

Dr.

50,000

To 6% Debentures Application A/c

50,000

(Application money  @ ₹ 25 each received for 2,000

6% Debentures)

6% Debenture Application A/c

Dr.

50,000

To 6% Debenture A/c

50,000

(Application money on 2,000 debentures  transferred to

6% Debentures Account)

6% Debenture Allotment A/c

Dr.

1,00,000

To 6% Debenture A/c

1,00,000

(Debenture Allotment money @ ₹ 50 each due on 2,000

6% Debentures)

Bank A/c

Dr.

1,00,000

To 6% Debenture Allotment A/c

1,00,000

(Allotment money for 2,000 6% Debentures received)

6% Debenture First and Final Call A/c

Dr.

50,000

To 6% Debenture A/c

50,000

(Debenture First and Final Call @ 25 each due on 2,000

6% Debentures)

Bank A/c

Dr.

50,000

To 6% Debenture First and Final Call A/c

50,000

(First and Final Call for 2,000 6% Debentures received)

 

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