Target Exam

CUET

Subject

-- Accountancy Part A

Chapter

Issue and Redemption of Debentures

Question:

Read the following passage and answer the question.

To meet the requirements of funds for starting a new factory, the company issued 50,000, 10% debentures of र10 each and 2,000, 8% debentures of र100 each to the vendor of the machinery purchased for र7,00,000.

How many debentures are issued in total by the company?

Options:

50,000

51,000

60,000

52,000

Correct Answer:

52,000

Explanation:

The correct answer is option 4- 52,000.

10% debentures = 50,000
8% debentures to vendor = 2,000
Total = 50,000 + 2,000
        = 52,000