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Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%?
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Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase cons...
Purchase of Machinery by Rexo Ltd
Background Information:
- Rexo Ltd has purchased machinery from Inox Ltd.
- The purchase consideration for the machinery is $800,000.
- Rexo Ltd has issued debentures to Inox Ltd as a payment method.
Issuance of Debentures:
- Rexo Ltd has issued debentures to Inox Ltd as a form of payment for the machinery.
- The debentures have a face value of $100 each.
- The total value of the debentures issued is calculated by dividing the purchase consideration by the face value of each debenture.
- Total Value of Debentures = Purchase Consideration / Face Value of Debenture
- Total Value of Debentures = $800,000 / $100 = 8000 debentures
Discount on Debentures:
- The debentures issued by Rexo Ltd are at a discount of 20%.
- The discount is calculated by multiplying the face value of the debentures by the discount rate.
- Discount on Debentures = Face Value of Debenture * Discount Rate
- Discount on Debentures = $100 * 20% = $20
Effective Value of Debentures:
- The effective value of the debentures is the face value minus the discount.
- The effective value is calculated by subtracting the discount from the face value of the debentures.
- Effective Value of Debentures = Face Value of Debenture - Discount on Debentures
- Effective Value of Debentures = $100 - $20 = $80
Total Value of Debentures:
- The total value of the debentures issued is calculated by multiplying the effective value of each debenture by the total number of debentures issued.
- Total Value of Debentures = Effective Value of Debenture * Total Number of Debentures
- Total Value of Debentures = $80 * 8000 = $640,000
Conclusion:
- Rexo Ltd has purchased machinery from Inox Ltd for a purchase consideration of $800,000.
- As a payment method, Rexo Ltd has issued debentures with a face value of $100 each.
- The debentures were issued at a discount of 20%.
- The effective value of the debentures is $80 each.
- The total value of the debentures issued is $640,000.
Background Information:
- Rexo Ltd has purchased machinery from Inox Ltd.
- The purchase consideration for the machinery is $800,000.
- Rexo Ltd has issued debentures to Inox Ltd as a payment method.
Issuance of Debentures:
- Rexo Ltd has issued debentures to Inox Ltd as a form of payment for the machinery.
- The debentures have a face value of $100 each.
- The total value of the debentures issued is calculated by dividing the purchase consideration by the face value of each debenture.
- Total Value of Debentures = Purchase Consideration / Face Value of Debenture
- Total Value of Debentures = $800,000 / $100 = 8000 debentures
Discount on Debentures:
- The debentures issued by Rexo Ltd are at a discount of 20%.
- The discount is calculated by multiplying the face value of the debentures by the discount rate.
- Discount on Debentures = Face Value of Debenture * Discount Rate
- Discount on Debentures = $100 * 20% = $20
Effective Value of Debentures:
- The effective value of the debentures is the face value minus the discount.
- The effective value is calculated by subtracting the discount from the face value of the debentures.
- Effective Value of Debentures = Face Value of Debenture - Discount on Debentures
- Effective Value of Debentures = $100 - $20 = $80
Total Value of Debentures:
- The total value of the debentures issued is calculated by multiplying the effective value of each debenture by the total number of debentures issued.
- Total Value of Debentures = Effective Value of Debenture * Total Number of Debentures
- Total Value of Debentures = $80 * 8000 = $640,000
Conclusion:
- Rexo Ltd has purchased machinery from Inox Ltd for a purchase consideration of $800,000.
- As a payment method, Rexo Ltd has issued debentures with a face value of $100 each.
- The debentures were issued at a discount of 20%.
- The effective value of the debentures is $80 each.
- The total value of the debentures issued is $640,000.
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Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%?
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Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%?.
Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Rexo Ltd purchase machinery from Inox Ltd for 800000 for purchase consideration 3000.12% debentures 100 each were issued at a discount 20%?.
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