On 1st April, 2021, Sterling Ltd., an unlisted (Non-NBFC/HFC) company, had outstanding 1,000, 10% Debentures of ₹ 100 each. Interest on debentures is payable half yearly on 30th September and 31st March. On 1st October, 2021, the company purchased 400 own debentures at ₹ 92 for the investment purpose and sold the same at ₹ 98 after four months.

Pass Journal entries on the date of Purchase and Sale of debentures.

Anurag Pathak Changed status to publish November 17, 2023