[CBSE] Q. 53 Issue of Debentures Solution TS Grewal Class 12 (2024-25)

Solution of Question number 53 of the Issue of Debentures Chapter of TS Grewal Book 2024-25 CBSE Board

Garvit Ltd. invited applications for issuing 3,000, 11% Debentures of ₹ 100 each at a discount of 6%. The full amount was payable on application. Applications were received for 3,600 debentures. Applications for 600 debentures were rejected and the application money was refunded. Debentures were allotted to the remaining applicants.

Pass the necessary Journal entries for the above transactions, including writing off the Discount on Issue of Debentures, in the books of Garvit. Ltd.

Solution:-