Vedesh Ltd. purchased a running business of Vibhu Enterprises for a sum of ₹ 12,00,000. Vedesh Ltd. paid ₹ 60,000 by drawing a promissory note in favour of Vibhu Enterprises., ₹1,90,000 through bank draft and balance by issue of 8% debentures of ₹ 100 each at a discount of 5%. The assets and liabilities of Vibhu Enterprises consisted of Fixed Assets valued at ₹ 17,30,000 and Trade Payables at ₹ 3,20,000. You are required to pass necessary journal entries in the books of Vedesh Ltd.

CBSE Sample Question Paper, Class 12 Accountancy Term 2 Question - Vedesh Ltd. purchased a running business of Vibhu Enterprises for a sum of ₹ 12,00,000. Vedesh Ltd. paid ₹ 60,000 by drawing a promissory note in favour of Vibhu Enterprises., ₹1,90,000 through bank draft and balance by issue of 8% debentures of ₹ 100 each at a discount of 5%. The assets and liabilities of Vibhu Enterprises consisted of Fixed Assets valued at ₹ 17,30,000 and Trade Payables at ₹ 3,20,000. You are required to pass necessary journal entries in the books of Vedesh Ltd.

By
Komal Kohli
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Vedesh Ltd. purchased a running business of Vibhu Enterprises for a
sum of ₹ 12,00,000. Vedesh Ltd. paid ₹ 60,000 by drawing a
promissory note in favour of Vibhu Enterprises., ₹1,90,000 through
bank draft and balance by issue of 8% debentures of ₹ 100 each at a
discount of 5%. The assets and liabilities of Vibhu Enterprises
consisted of Fixed Assets valued at ₹ 17,30,000 and Trade Payables
at ₹ 3,20,000.
You are required to pass necessary journal entries in the books of
Vedesh Ltd.

Answer.
In the Books of Vedesh Ltd.

Working Note:
Number of Debentures issued = 9,50,000 / 95 = 10,000

 

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