When a company issues debenture at par or at a discount which are redeemable at a premium, the premium payable on redemption of the debenture is treated as ……………

CS Executive · Corporate and Management Accounting · PYQS · December 2024
When a company issues debenture at par or at a discount which are redeemable at a premium, the premium payable on redemption of the debenture is treated as ……………
(A) Capital Loss
(B) Capital Profit
(C) Revenue Loss
(D) Operating Loss

Answer & Explanation:

Correct Answer: Option (A)

Official answer key: (A).

Topics: Debentures

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