On April 1, 2000 Simplox Limited (SL) issued 10% convertible debentures of face value 200 each. Each

Question:

On April 1, 2000 Simplox Limited (SL) issued 10% convertible debentures of face value ₹200 each. Each debenture is convertible into four equity shares after five years from the date of issue.

Had SL issued redeemable debentures then it would have offered an interest rate of 11% on these debentures. Show how it is to be recognized.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Financial Accounting

ISBN: 9780071078023

1st Edition

Authors: Dhanesh K. Khatri

See More Books

Question Posted: Dec 19, 2023 05:51 AM

See More Questions

On April 1, 2000 Sport Limited (SL) issued 10% convertible debentures of face value 100 each. Each debenture is convertible into four equity shares after five years from the date of issue. Had SL...
On April 1, 2000 Simplox Limited (SL) issued 10% convertible debentures of face value 200 each. Each debenture is convertible into four equity shares after five years from the date of issue. Had SL...
List three specific parts of the Case Guide, Objectives and Strategy Section (See below) that you had the most difficulty understanding. Describe your current understanding of these parts. Provide...
In 2022, Tornado Ltd. had average inventory of $92000. The 2022 income statement showed net sales of $2100000 and gross profit of $428000. In 2021, it was taking the company approximately 30 days to...
In an examination of Arenes Corporation as of December 31, 2012, you have learned that the following situations exist. No entries have been made in the accounting records for these items. 1. The...
Alice Johnson, Social Security number 222-23-3334, is a single taxpayer and is employed as a secretary by State University of Florida. She has the following items pertaining to her income tax return...
An 1100-kg car stops at a red light, going from $85 \mathrm{~km} / \mathrm{h}$ to stationary in 20 s. (a) What is the impulse delivered to the car? (b) What is the average vector sum of forces...
(Expenditures vs. Expenses) Family Services, a small social service nonprofit agency, began operations on January 1, 20X1, with $40,000 cash and $150,000 worth of equipment, on which $60,000 was owed...
1. Electric potential is given by V=6x-8xy-8y+6yz - 4z Then magnitude of electric force acting on 2C point charge placed on origin will be :- (1) 2N (2) 6N (3) 8N (3) 8N (4) 20 N 2. Figure shows...
Taking the data of Example 9, if on the expiry, i.e., on last Thursday April 28, 2011 premium is 75 and 8, respectively. Then accounting will be as follows: Data from Example 9 Sachkhand Enterprises...
Show how financial liabilities, equity or financial asset is to be recognized in each of the following cases: (i) A co-operative society has 500 members each holding 100 units of 10 each. The statute...
Blood contains several substances that minimize changes in its acidity by reacting with either an acid or a base. One of these is the hydrogen phosphate ion, HPO42. Write one equation showing this...
Benziger owns and operates a diner in Voorhees. A young couple entered and ordered burgers and fries and sat at the counter. When Benziger came out of his office in the back, he noticed that the...
Provide a detailed analysis to social well-being, how is social well-being measured at a national level and what policies could be created to improve social quality approach variables (SQA). What are...
Michael owns a local small business carving wooden ornaments out of hardwood timber 'off cuts' to sell. He purchases a trailer load of redwood from his local Timber Mill - however soon realises that...
X Co. owns land all over downtown Toronto. From time to time, X Co. has used John Jones as its agent to sell land that it owns. X Co. hires John and tells him it wants to sell a downtown property...
Jean incorporates the business into a company named Jean's Coffee Shop Pty Ltd. Jean is one of three directors under the new corporate structure. The company raises capital to expand the business by...
The plaintiff, Private Movie Company (Efraim), sued the defendant, Pamela Lee Anderson (Lee), for $4.6 million, alleging that she breached both an oral and a written contract so that she could work...
The following information is for Montreal Gloves Inc. for the year 2020: Manufacturing costs Number of gloves manufactured Beginning inventory $ 3,016,700 311,000 pairs 0 pairs Sales in 2020 were...
Given the characteristics of useful accounting information, complete each of the following statements. (a) For information to be _____, it should have predictive and confirmatory value. (b) _____ is...
Given the characteristics of useful accounting information, complete each of the following statements. (a) For information to be _____, it should have predictive and confirmatory value. (b) _____ is...
Given the characteristics of useful accounting information, complete each of the following statements. (a) For information to be _____, it should have predictive and confirmatory value. (b) _____ is...
Bidar, a financial advisor, is helping his client Madison decide on a savings strategy. He advises her to contribute to a Roth IRA. What does the Roth IRA offer that makes it a beneficial option for...
Is the item number in the residentil tenancy agreement and the standard term nuber in the RTRA ACT this is what the teachers feedback can you please explain Action: Requirements for payment of rent...
What can you now do when creating an invoice using new invoicing?

On April 1, 2000 Simplox Limited (SL) issued 10% convertible debentures of face value 200 each. Each

Question:

Step by Step Answer:

The debt portion is to be recognized at the present value 11 per annum of future interest p...View the full answer

Financial Accounting

Students also viewed these Business questions