[ISC] Q. 5, 6 Issue of Debentures solution TS Grewal Class 12 (2026-27)

Solution of Question number 5 and 6 of the Issue of Debentures Chapter of TS Grewal Book ISC Board 2026-27 session?

Q. 5. Airdrop Ltd. issued 6,000; 10% Debentures of ₹ 50 each at a premium of ₹ 15 payable as follows:

(i) ₹ 15, including premium of ₹ 5 on application:

(ii) ₹ 20, including premium of ₹ 10 on allotment; and

(iii) Balance as first and final call.

Applications were received for 6,000 debentures and allotement was made. Calls were made and amounts due were received.

Pass the Journal entries for the above.

Solution:-

Q. 6. Universal Auto Ltd. issued 40,000; 10% Debentures of ₹ 100 each at par for cash payable in full along with the application. Applications were received for 60,000 debentures. Debentures were allotted and excess application money was refunded. Pass Journal entries in the books of the company.

Solution:-