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X Limited issued nominal value Rs. 10,000, 6% debentures as follows: (a) To sundry persons for cash at 90% (b) To a creditors for Rs. 2,000 of fixed assets taken over from him in satisfaction of his claim (c) To the bankers as collateral security for a loan of Rs. 1,000 Rs. 5,000 nominal value 2,500 nominal value 2,500 nominal value?
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X Limited issued nominal value Rs. 10,000, 6% debentures as follows: (...
Issuance of 6% Debentures by X Limited

Introduction:
X Limited issued nominal value Rs. 10,000, 6% debentures for raising funds. The debentures were issued in three ways.

Issuance of Debentures:
The three ways of issuance are as follows:

1. Issued to Sundry Persons for Cash at 90%:
Nominal Value of Debentures = Rs. 5,000
Amount received = Rs. 4,500 (90% of nominal value)
Interest rate = 6%
Reason for Issuance: To raise funds from the public

2. Issued to a Creditor for Rs. 2,000 of Fixed Assets Taken Over from Him in Satisfaction of His Claim:
Nominal Value of Debentures = Rs. 2,500
Amount received = Rs. 2,000 (asset value taken over)
Interest rate = 6%
Reason for Issuance: To settle the claim of a creditor through the transfer of fixed assets

3. Issued to Bankers as Collateral Security for a Loan of Rs. 1,000:
Nominal Value of Debentures = Rs. 2,500
Amount received = Nil (issued as collateral security)
Interest rate = 6%
Reason for Issuance: To provide collateral security for a loan obtained from bankers

Conclusion:
X Limited issued 6% debentures to raise funds from the public and to settle the claim of a creditor. They also issued debentures as collateral security for the loan obtained from bankers. The interest rate for all the three issuances was 6%.
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X Limited issued nominal value Rs. 10,000, 6% debentures as follows: (a) To sundry persons for cash at 90% (b) To a creditors for Rs. 2,000 of fixed assets taken over from him in satisfaction of his claim (c) To the bankers as collateral security for a loan of Rs. 1,000 Rs. 5,000 nominal value 2,500 nominal value 2,500 nominal value?
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X Limited issued nominal value Rs. 10,000, 6% debentures as follows: (a) To sundry persons for cash at 90% (b) To a creditors for Rs. 2,000 of fixed assets taken over from him in satisfaction of his claim (c) To the bankers as collateral security for a loan of Rs. 1,000 Rs. 5,000 nominal value 2,500 nominal value 2,500 nominal value? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about X Limited issued nominal value Rs. 10,000, 6% debentures as follows: (a) To sundry persons for cash at 90% (b) To a creditors for Rs. 2,000 of fixed assets taken over from him in satisfaction of his claim (c) To the bankers as collateral security for a loan of Rs. 1,000 Rs. 5,000 nominal value 2,500 nominal value 2,500 nominal value? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X Limited issued nominal value Rs. 10,000, 6% debentures as follows: (a) To sundry persons for cash at 90% (b) To a creditors for Rs. 2,000 of fixed assets taken over from him in satisfaction of his claim (c) To the bankers as collateral security for a loan of Rs. 1,000 Rs. 5,000 nominal value 2,500 nominal value 2,500 nominal value?.
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