F & R Ltd. issued 5,000, 9% Debentures of ₹ 100 each at par on 1st April, 2020 redeemable at par on 31st March, 2022
F & R Ltd. issued 5,000, 9% Debentures of ₹ 100 each at par on 1st April, 2020 redeemable at par on 31st March, 2022. The company transferred the required amount to DRR out of Surplus, i.e., Balance in Statement of Profit & Loss on 31st March, 2021. It invested the specified amount in fixed deposit with Canara Bank on 1st April, 2021 earning 8% interest. Interest is paid on debentures annually on 31st March.
Pass Journal entries for issue and redemption of debentures, DRR, investment and interest on debentures.
Anurag Pathak Changed status to publish November 4, 2023
