Ram Ltd Issued 30,000; 7% debentures of Rs 100 each to a vendor of machinery costing 32,00,000 rs - Accountancy - Issue and Redemption of Debentures

Question

Ram Ltd Issued 30,000; 7% debentures of Rs 100 each to a vendor of
machinery costing 32,00,000 rs As his full and final settlement
Pass necessary entry
Please no links thanks

Rachna Puneet Mehta · Accepted Answer

Solution
Journal

Date
Particulars
L F
Dr
Cr

Machinery A/c Dr

32,00,000

To vendor's A/c

32,00,000

(Bring the asset purchasses from vendor if rs 32,00,000)

Vendor's A/c Dr

32,00,000

To 7% Debentures A/c(30,000 × 100)

30,00,000

To securities premium reserve A/c

2,00,000

(Being the issue of debentures at premium)

Date	Particulars	L.F.	Dr	Cr
	Machinery A/c. Dr.		32,00,000
	To vendor's A/c			32,00,000
	(Bring the asset purchasses from vendor if rs 32,00,000)
	Vendor's A/c. Dr		32,00,000
	To 7% Debentures A/c(30,000 × 100)			30,00,000
	To securities premium reserve A/c			2,00,000
	(Being the issue of debentures at premium)

Ram Ltd. Issued 30,000; 7% debentures of Rs. 100 each to a vendor of machinery costing 32,00,000 rs. As his full and final settlement. Pass necessary entry. Please no links thanks.

Ram Ltd. Issued 30,000; 7% debentures of Rs. 100 each to a vendor of machinery costing 32,00,000 rs. As his full and final settlement. Pass necessary entry.
Please no links thanks.