TL Ltd. purchased assets of a book value of 99,000 from another firm. The purchase consideration was to be paid by issuing 11% Debentures of 100 each at a discount of 10%. The number of Debentures the company needs to issue will be:

1,100

The correct answer is option 4- 1,100.

No. of debentures issued = Purchase Consideration / Issue Price of a Debenture
                                         = 99,000 / 90
                                         = 1,100

*Issue price of debenture = Face value - discount
                                          = 100 - (100 x10/100)
                                          = 100-10
                                          = ₹90