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T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:
- a)Rs. 2,00,000
- b)Rs. 2,50,000
- c)Rs. 2,40,000
- d)Rs. 1,60,000
Correct answer is option 'B'. Can you explain this answer?
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T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,...
For $500,000 on January 1, 2021. The company plans to use the land for future development and does not expect to sell it in the foreseeable future. On December 31, 2021, the fair value of the land is determined to be $600,000.
To record the increase in value of the land, T Ltd. will make the following journal entry:
Date: December 31, 2021
Land (Asset) - Debit: $100,000
Gain on Land (Revenue) - Credit: $100,000
Explanation:
The increase in the value of the land from $500,000 to $600,000 represents a gain for the company. This gain is recorded as revenue on the income statement. The Land account is debited by $100,000 to reflect the increase in its value. The Gain on Land account is credited by $100,000 to record the gain as revenue.
To record the increase in value of the land, T Ltd. will make the following journal entry:
Date: December 31, 2021
Land (Asset) - Debit: $100,000
Gain on Land (Revenue) - Credit: $100,000
Explanation:
The increase in the value of the land from $500,000 to $600,000 represents a gain for the company. This gain is recorded as revenue on the income statement. The Land account is debited by $100,000 to reflect the increase in its value. The Gain on Land account is credited by $100,000 to record the gain as revenue.
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T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer?
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T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer?.
T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer?.
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T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer?, a detailed solution for T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice T Ltd. purchased land & building from U Ltd. for a value of Rs. 2,00,000. The consideration was paid by issue of 12% debentures of Rs. 100 each at a discount of 20%. The debentures account will be credited with:a)Rs. 2,00,000b)Rs. 2,50,000c)Rs. 2,40,000d)Rs. 1,60,000Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
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