Mahima Ltd., an unlisted (Non-NBFC/HFC) company, issued ₹ 38,00,000, 9% Debentures of ₹ 100 each on 1st April, 2019. The debentures were redeemable at a premium of 5% on 30th June, 2022. The company transferred an amount of ₹ 3,80,000 to Debentures Redemption Reserve on 31st March, 2022. Investments as required by law were made in fixed deposit of a bank on 1st April, 2022.

Ignoring interest on fixed deposit, pass necessary Journal entires starting from 31st March, 2022 regarding redemption of debentures.

Anurag Pathak Changed status to publish November 4, 2023
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