What do you mean by Convertible Preference Shares? Post category:Accountancy Reading time:1 mins read SOLUTION Holders of these shares have a right to get their preference shares converted into equity shares at their option according to the terms of issue. 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 PostWhat do you mean by Non-Redeemable Preference Shares? Next PostWhat do you mean by Non-Convertible Preference Shares? You Might Also Like What is meant by redemption of debentures out of Profits? September 30, 2022 If opening capitals of partners are A Rs. 2,00,000, B Rs. 3,00,000 and C Rs. 4,00,000 and their drawings during the year are A Rs. 3,000 per month, B Rs. 4,000 per month and C Rs. 5,000 per month and creditors are Rs. 80,000, what will be the amount of assets of the firm? September 27, 2022 Pass the Journal entries for the following transactions on the dissolution of the firm of P and Q after various assets (other than cash) and outside liabilities have been transferred to Realisation Account: (a) Stock Rs. 2,00,000. ‘P’ took over 50% of stock at a discount of 10%. Remaining stock was sold at a profit of 25% on cost. (b) Debtor Rs. 2,25,000. Provision for Doubtful Debts Rs. 25,000. Rs. 20,000 of the book debts proved bad. (c) Land and Building (Book value Rs. 12,50,000) sold for Rs. 15,00,000 through a broker who charged 2% commission. (d) Machinery (Book value Rs. 6,00,000) was handed over to a creditor at a discount of 10%. (e) Investment (Book value Rs. 60,000) realised at 125%. (f) Goodwill of Rs. 75,000 and prepaid fire insurance of Rs. 10,000. (g) There was an old furniture in the firm which had been written off completely in the books. This was sold for Rs. 10,000. (h) ‘Z’ an old customer whose account for Rs. 20,000 was written off as bad in the previous year, paid 60%. (i) ‘P’ undertook to pay M Rs. P’s loan of Rs. 50,000. (j) Trade Creditors Rs. 1,60,000. Half of the trade Creditors accepted Plant and Machinery at an agreed valuation of Rs. 54,000 and cash in full settlement of their claims after allowing a discount of Rs. 16,000. Remaining trade Creditors were paid 90% in final settlement. July 25, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
If opening capitals of partners are A Rs. 2,00,000, B Rs. 3,00,000 and C Rs. 4,00,000 and their drawings during the year are A Rs. 3,000 per month, B Rs. 4,000 per month and C Rs. 5,000 per month and creditors are Rs. 80,000, what will be the amount of assets of the firm? September 27, 2022
Pass the Journal entries for the following transactions on the dissolution of the firm of P and Q after various assets (other than cash) and outside liabilities have been transferred to Realisation Account: (a) Stock Rs. 2,00,000. ‘P’ took over 50% of stock at a discount of 10%. Remaining stock was sold at a profit of 25% on cost. (b) Debtor Rs. 2,25,000. Provision for Doubtful Debts Rs. 25,000. Rs. 20,000 of the book debts proved bad. (c) Land and Building (Book value Rs. 12,50,000) sold for Rs. 15,00,000 through a broker who charged 2% commission. (d) Machinery (Book value Rs. 6,00,000) was handed over to a creditor at a discount of 10%. (e) Investment (Book value Rs. 60,000) realised at 125%. (f) Goodwill of Rs. 75,000 and prepaid fire insurance of Rs. 10,000. (g) There was an old furniture in the firm which had been written off completely in the books. This was sold for Rs. 10,000. (h) ‘Z’ an old customer whose account for Rs. 20,000 was written off as bad in the previous year, paid 60%. (i) ‘P’ undertook to pay M Rs. P’s loan of Rs. 50,000. (j) Trade Creditors Rs. 1,60,000. Half of the trade Creditors accepted Plant and Machinery at an agreed valuation of Rs. 54,000 and cash in full settlement of their claims after allowing a discount of Rs. 16,000. Remaining trade Creditors were paid 90% in final settlement. July 25, 2022