Redemption of Preference Shares | India | Accounting

Here is a compilation of top four accounting problems on redemption of preference shares with its relevant solutions. Problem 1 (Redemption out of profit at premium): The following are the balance appearing in the books of Puri Cycles Ltd. as on 31st Dec. Share Capital Equity share capital 18, 00,000 Preference shares (fully paid) 9, 00,000 Security premium 1, 00,000 [...]