Issue and Redemption of Debentures
In the NCERT Accountancy textbook for Class 12, this topic covers debentures as long term borrowed funds with fixed interest. You learn their types, from secured and redeemable to convertible and zero coupon forms, and the entries for issue at par, at premium or at discount, including issue for consideration other than cash and as collateral security. The lesson explains sources of redemption out of profits or capital, the mandatory Debenture Redemption Reserve (DRR) for specified companies, and the journal treatment of redemption by lump sum, instalments, purchase in the open market, or conve
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