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Can anyone please explain me the debenture entry
Answers (2)
Best Answer
Total debentures are 1,50,000 paid 8 % premium so payable 162000 And thare is 10 discount So so we suppose that face valu 100 Issue price 90 so what is face value at 162000 So 162000*100/90 come 1,80,000 So thare is 10 % discount of 1,80,000 18,000 1,80,000- 18,000= 162,000 payable