Excel Ltd. issued 7,500, 6% Debentures of ₹ 100 each on 1st April, 2015 redeemable at a premium of 15% on 31st December, 2021. The company decided to transfer the required amount to DRR in three equal annual instalments starting from 31st March, 2019. The company invested in fixed deposit on 30th April, 202 earning 5% interest on which the bank deducted TDS @ 10%.
Interest on Debentures is paid annually on 31st March, on which TDS is deducted @ 10%.
Pass Journal entries for redemption of debentures and interest (both debentures and investment) for the years ended 31st March,2021 and 2022.