On 1st April, 2024, XY Ltd. took over assets of ₹4,50,000 and liabilities of ₹60,000 of Himalyan Ltd. for the purchase consideration of ₹4,40,000. It paid the purchase consideration by issuing 8% Debenture of ₹100 each a

Answer 2(b) Journal of XY Ltd. Date Particulars L.F Dr (in ₹) Cr. (In ₹) April 1, 2024 Sundry Assets A/c Dr. 4,50,000 Goodwill A/c (Bal. fig) Dr. 50,000 To Himalyan Ltd. 4,40,000 To Sundry Liabilities A/c 60,000 (Being Asset and liabilities taken over for a net consideration of ₹4,40,000) Himalyan Ltd. Dr. 4,40,000 To 8% Debentures A/c 4,00,000 To Securities Premium A/c 40,000 (Being 4000; 8% Debenture of ₹100 each issued at a premium of 10%) Bank A/c Dr. 90,000 To Debenture Application A/c 90,000 (Being the application money received for 3000, 8% Debenture) Debenture Application A/c Dr. 90,000 To 8% Debenture A/c 90,000 (Being 3000; 8% Debenture allotted) Debentures Allotment A/c Dr. 1,80,000 Loss on issue of debenture A/c Dr. 45,000 To 8% Debentures A/c 2,10,000 To Premium on redemption of debentures A/c 15,000 (Being allotment money due on 3000; 8% Debentures at 10% discount and redeemable at 5% premium) Bank A/c Dr. 1,80,000 To Debentures Allotment A/c 1,80,000 (Being the allotment money received) March 31, 2025 Securities Premium A/c Dr. 40,000 Statement of P&L (Finance cost) Dr. 5,000 To Loss on issue of Debenture A/c 45,000 (Being the Loss on issue of debenture written off)