State with reason, whether the issue of 9% Debentures to the vendors for the purchase of machinery of Rs. 50,000 will result in inflow, outflow or no flow of cash.
It is correct that companies are not premitted to issue shares at discount by the Companies Act, 2013 but , the Act does not prohibit issue of debentures at discount....
(a) (i) Dr. Bank A/c and Cr. Debentures Application and Allotment A//c by Rs. 1,05,000.
(ii) Dr. Debentures Application and Allotment A/c - Rs. 1,05,000 and Loss on Issue of...
(a) (i) Dr. Bank A/c and Cr. Debentures Application and Allotment A/c by Rs. 5,36,250.
(ii) Dr. Debentures Applications and Allotment A/c: Rs. 5,36,250 and Loss on Issue of Debentures...