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Model Test Papers M.421

Or
JOURNAL

Date Particulars L.F. Dr. (`) Cr. (`)
(i) Bank A/c ...Dr. 4,32,000
To Debentures Application and Allotment A/c 4,32,000
(Being the application money received for 4,000 debentures @ ` 108 each)
Debentures Application and Allotment A/c ...Dr. 4,32,000
Loss on Issue of Debentures A/c ...Dr. 40,000
To 9% Debentures A/c 4,00,000
To Securities Premium Reserve A/c 32,000
To Premium on Redemption of Debentures A/c 40,000
(Being the allotment of 4,000; 9% Debentures of ` 100 each at 8%
premium redeemable at 10% premium)
(iii) Bank A/c ...Dr. 6,00,000
To Debentures Application and Allotment A/c 6,00,000
(Being the application money received for 6,000 debentures
@ ` 100 each)
Debentures Application and Allotment A/c ...Dr. 6,00,000
Loss on Issue of Debentures A/c ...Dr. 60,000
To 9% Debentures A/c 6,00,000
To Premium on Redemption of Debentures A/c 60,000
(Being the allotment of 6,000; 9% Debentures of ` 100 each at par
redeemable at 10% premium)
(iii) Bank A/c ...Dr. 10,50,000
To Debentures Application and Allotment A/c 10,50,000
(Being the application money received for 10,000 debentures
@ ` 105 each)
Debentures Application and Allotment A/c ...Dr. 10,50,000
To 9% Debentures A/c 10,00,000
To Securities Premium Reserve A/c 50,000
(Being the allotment of 10,000; 9% Debentures of ` 100 each at 5%
premium redeemable at par)

11. JOURNAL
Date Particulars L.F. Dr. (`) Cr. (`)
Q’s Capital A/c ...Dr. 24,000
R’s Capital A/c ...Dr. 12,000
To P’s Capital A/c (WN 1) 36,000
(Being the P’s Share of Goodwill adjusted by debiting gaining
partners in their gaining ratio, i.e., 2 : 1)
Profit and Loss Suspense A/c ...Dr. 10,500
To P’s Capital A/c (WN 2) 10,500
(Being the P’s share of profit till the date of his death transferred to his
Capital Account)