[ISC] Q 11, 12 Redemption of Debenture TS Grewal (2026-27)
Solution of question number 11 and 12 of Redemption of Debenture Ts Grewal class 12 ISC Board (2026-27)
Q. 11. Export-Import Bank of India (EXIM Bank) issued 20,000, 10% Debentures of ₹ 100 each through public issue and 10,000, 10% Debentures of ₹ 100 each through private placement. State the amount of Investment to be made by EXIM Bank before redemption of debentures.
Solution:-
DRI – NIL
Banking companies (for both Public issue and Private Placement of Debentures) are exempted from creating DRR and DRI for the purpose of Redemption of Debentures.
Q. 12. Sherry Ltd. (a listed NBFC) has 50,000, 6% Debentures of ₹ 100 each due for redemption on 31st March, 2022. It invested in Debentures Redemption Investments on 1st April, 2021 and realised it at 105% and redeemed the debentures.
Determine the sale of value of investments.
Solution:-
Debentures Redemption Investment = 50,00,000 ✕ 15% = ₹ 7,50,000
Debenture Redemption Investment Realised = 7,50,000 ✕ 105% = ₹ 7,87,500
