Reliance Ltd. Purchased machinery costing ₹ 1,35,000. It was agreed that the purchase consideration be paid by issuing 9% Debentures of ₹ 100 each. Assume debentures have been issued (i) at par and (ii) at a Discount of 10 % Give necessary Journal entries.
1 Answers
Newton Ltd. purchased a Machinery from B for ₹ 5,76,000. to be paid by the issue of 9% Debentures of ₹ 100 each at 4% discount . Journalise the tr
Correct Answer - 6,000 Debentures of ₹ 100 each .
2 Answers 1 views
Bright Ltd. Took over the assets of ₹ 6,60,000 and liabilities of ₹ 80,000 of star Ltd. For an agreed purchase consideration of ₹ 6,00,000 payab
Correct Answer - Entry in all Cases: Dr Sundry Assets A/c- ₹ 6,60,000 and Goodwill A/c - ₹ 20,000; Cr . Sundry Liabilities A/c - ₹ 80,000 and star Ltd....
2 Answers 1 views
R Ltd. Purchased the assets of S Ltd. For ₹ 5,00,000. It also agreed to take over the liabilities of S Ltd. Amounted to ₹ 2,00,000 for a purchase
Correct Answer - Capital Reserve - ₹ 20,000
2 Answers 1 views
Green Ltd. Purchased the assets of Strong Ltd. For ₹ 40,00,000 and took over liabilities of ₹ 7,00,000 at an agreed value of ₹ 32,40,000. Paymen
Correct Answer - (i) Dr. Sundry Assets A/c by ₹ 40,00,000, Cr. Sundry Liabilities A/c by ₹ 7,00,000; Strong Ltd .by ₹ 32,40,000 and Capital Reserve A/c by ₹ 60,000;...
2 Answers 1 views
Wellbeing Ltd. Took over assets of ₹ 9,80,000 and liabilities of ₹ 40,000 of HDR Ltd. At an agreed value of ₹ 9,00,000. Wellbeing Ltd. Paid to H
Correct Answer - (i) Dr. Sundry Assets A/c by ₹ 9,80,000, Cr. Sundry Liabilities A/c by ₹ 40,000; HDR Ltd by ₹ 9,00,000 and Capital Reserve A/c by ₹ 40,000....
2 Answers 1 views
Z Ltd. purchased furniture costing Rs. 2,20,000 from C.D Ltd. The payment was to be made by issue of 9% Preference Shares of Rs. 100 each at a premium
Correct Answer - 2,000; 9% Preference Shares to be issued.
2 Answers 1 views
Goodluck Ltd. purchased machinery costing Rs. 10,00,000 from Fair Deals Ltd. The company paid the price by issue of Equity Shares of Rs. 10 each at a
Correct Answer - 80,000 Equity Shares to be issued.
2 Answers 1 views
Jain Ltd. purchased machinery costing Rs. 10,00,000 from Ayer Ltd. 50% of the payment was made by cheque and for the remaining 50%, the company issued
Correct Answer - 4,000 Equity Shares to be issued.
2 Answers 1 views
Sandesh Ltd. took over the assets of Rs. 7,00,000 and liabilities of Rs. 2,00,000 from Sanchar Ltd. For a purchase consideration of Rs. 4,59,500 . Rs.
Correct Answer - Capital Reserve-Rs 40,500.
2 Answers 1 views
Better Prospect Ltd. acquired land costing Rs. 1,00,000 and in payment allotted 1,000 Equity Shares of Rs. 100 each as fully paid. Further, the compan
Correct Answer - Balance Sheet Total-Rs. 4,92,000.
2 Answers 1 views