[CBSE] Q. 5 Issue of Debentures Solution TS Grewal Class 12 (2024-25)

Solution of Question number 5 of the Issue of Debentures Chapter of TS Grewal Book 2024-25 CBSE Board

Narain Laxmi Ltd. invited applications for issuing 7,500; 12% Debentures of ₹ 100 each at a premium of ₹ 35 per debenture. The full amount was payable on application. Issue was subscribed and allotment was made.

Pass necessary Journal entries for the above transactions in the books of Narain Laxmi Ltd.

Solution:-