Issue Of Debenture Complete Chapter | Class 12 Accounts Chapter 9 | CBSE Board Exam | Chandan Poddar
In This Video We Will Discuss the Issue Of Debenture all Concepts, Problems and Examples for Class 12 and Class 12 Chapter no 9 has been discussed by Chandan Poddar Sir For Class 12 Grooming Education. ⚫ Class 12 Accountancy https://www.escholars.in/p/accountanc... ⚫ Class 12: Combo Pack https://www.escholars.in/p/class-12-c... ⚫ Class 12th Individual Courses https://www.escholars.in/store/class-... ⚫ Class 12th Free Downloads https://www.escholars.in/store/class-... ⚫ Download Our Escholars AI App https://play.google.com/store/apps/de... Watch Next:- ⚫ Cash Flow Statement Complete Chapter:- • Video ⚫ Not for Profit Organisation (NPO) Complete Chapter:- • Not for Profit Organisation (NPO) Complete... ⚫ Best Way to Score 100 in Class 12 Pre Boards • Video The issue of Debentures seems to be much alike to the issue of shares by an enterprise. Here, the money can be accumulated either in lump sum or in instalments. The accounting treatment of the 2 is quite alike. Now, the debentures can be either issued for some other considerations or cash. Often issue or circulation of debentures is done as collateral security. Debenture is a written instrument acknowledging a debt under the common seal of the company It contains a contract for repayment of principal after a specified period and for payment of interest at a fixed rate Characteristics of a debenture 1.Debenture is an instrument of loan 2.Interest is paid at a fixed rate every year and debentures is known as “fixed cost bearing capital”. 3.Debenture has a common seal of the company. 4.Debenture is redeemable at a fixed and specified time. 5.Debenture-holders are the creditors of the company, not owners. 6.Debenture-holders have no right to cast vote in the company’s general meeting. The issue of Debentures for Cash Debentures in accustomed progress of the business concern are circulated for cash. Circulation of debentures that occurs can be categorised into 3 types, like the issue of shares at a discount, at a premium and at par. The issue of Debentures at Discount When the debentures are circulated below the face value, this type of circulation of debentures is called a discount issue. Say, for instance, the debenture possesses a nominal value of 200/- but is issued for 190/-. This type of debentures is known to be issued at a discount. The issue of Debentures at Premium The issue of debentures at a premium is when the money is charged more than the nominal value. The premium amount charged to a special a/c is known as Securities Premium Reserve A/c. This account shall be depicted on the liabilities side of the Balance Sheet below the heading Reserves and Surplus. So, if a debenture with a face value of 200/- is sold at 210/- then it is circulated at a premium. Class 12: Grooming education academy is engaged in providing qualitative commerce education to society at concessional prices. We believe in Research, reasoning and result and thus our learners admit our USP of: "Pioneer in developing concepts". We provide the complete tutorials for Class 12. To know about the courses and books that best suits your requirement call at our helpline number: 𝟖𝟖𝟖 𝟖𝟖𝟖 𝟎𝟒𝟎𝟐 𝐕𝐢𝐬𝐢𝐭 𝐎𝐮𝐫 𝐖𝐞𝐛𝐬𝐢𝐭𝐞 to know more about the courses available: https://www.escholars.in/ 𝐉𝐨𝐢𝐧 𝐨𝐮𝐫 𝐭𝐞𝐥𝐞𝐠𝐫𝐚𝐦 𝐜𝐡𝐚𝐧𝐧𝐞𝐥 𝐟𝐨𝐫 𝐝𝐚𝐢𝐥𝐲 𝐮𝐩𝐝𝐚𝐭𝐞𝐬::::https://t.me/Class12grooming 𝐅𝐚𝐜𝐞𝐛𝐨𝐨𝐤 𝐏𝐚𝐠𝐞: / groomingeducationacademy 𝐈𝐧𝐬𝐭𝐚𝐠𝐫𝐚𝐦 𝐏𝐚𝐠𝐞: / groomingeducationacademy 𝐏𝐢𝐧𝐭𝐞𝐫𝐞𝐬𝐭 𝐏𝐚𝐠𝐞: https://www.pinterest.de/groomingeduc... 𝐋𝐢𝐧𝐤𝐞𝐝𝐈𝐧 𝐏𝐚𝐠𝐞: / grooming-education-academy 𝐓𝐰𝐢𝐭𝐭𝐞𝐫 𝐏𝐚𝐠𝐞: / academygrooming #Class12 #Accounts #Debentures #issueofdebenture #ChandanPoddar #CBSE
