CUET Preparation Today
X Limited Issued 10,000, 12% debentures of Rs. 100 each payable Rs. 40 on application and Rs. 60 on allotment. The public applied for 14,000 debentures. Applications for 9,000 debentures were accepted in full; applications for 2,000 debentures were allotted 1,000 debentures and the remaining applications, were rejected. All money was duly received. 12% Debenture Application A/c will be credited with - |
Rs. 4,00,000 Rs. 5,60,000 Rs. 4,40,000 Rs. 6,00,000 |
Rs. 5,60,000 |
The correct answer is Option (2) → Rs. 5,60,000 The initial journal entry to record the receipt of application money is: Bank A/c Dr.5,60,000
To 12% Debenture Application A/c Cr.5,60,000
(Receipt of application money on 14,000 debentures)
Refer Page 86 Ncert. |
