Are debentures less riskier than shares? Post category:Accountancy Reading time:1 mins read SOLUTION Yes, because debentures have priority over shares as to repayment in case of winding up of the Company. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostWhy would an investor prefer to invest in Shares of a Company rather than in its Debentures? Next PostAre there any legal restrictions, similar to shares, for issue of debentures at a discount? You Might Also Like What will be the impact of increase in Current liabilities on Working Capital turnover ratio? State with reason. October 3, 2022 Does the change in profit-sharing ratio result into dissolution of the partnership firm? Give reason in support of your answer. (AI 2017 C) October 7, 2022 Romi Ltd. acquired assets of Rs. 20 lakhs and took over creditors of Rs. 2 lakhs from Kapil Enterprises. Romi Ltd. issued 8% Debentures of Rs. 100 each at a discount of 10% as purchase consideration. Record necessary journal entries in the books of Romi Ltd. July 16, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
What will be the impact of increase in Current liabilities on Working Capital turnover ratio? State with reason. October 3, 2022
Does the change in profit-sharing ratio result into dissolution of the partnership firm? Give reason in support of your answer. (AI 2017 C) October 7, 2022
Romi Ltd. acquired assets of Rs. 20 lakhs and took over creditors of Rs. 2 lakhs from Kapil Enterprises. Romi Ltd. issued 8% Debentures of Rs. 100 each at a discount of 10% as purchase consideration. Record necessary journal entries in the books of Romi Ltd. July 16, 2022