In this article we will discuss about the accounting entries for issue of debentures. (A) Issue of Debenture for Cash: The issue procedure with regard to debentures is the same as that of shares. The amount due on debentures may be paid in installments, such as, Application, Allotment and Calls. When debentures are issued at premium, the amount of premium [...]
Bonus shares are the shares allotted to existing equity shareholders without any consideration being received from them, in cash or in kind. They are issued to capitalize profits of the company. Bonus shares can be issued only if Articles of Association permit such an issue. SEBI Guidelines Regarding Issue of Bonus Shares: SEBI has issued certain guidelines regarding issue of [...]
In this article we will discuss about the Issue of Debentures:- 1. Meaning of Issue of Debentures 2. Expenses on Issue of Debentures Account 3. Debenture Redemption Reserve 4. Collateral Security 5. Writing Off Discount. Contents: Meaning of Issue of Debentures Expenses on Issue of Debentures Account Debenture Redemption Reserve Issue of Debentures as a Collateral Security Writing Off Discount [...]