🎴 Flashcard Mode
Issue of debentures - class-XII
Card1 / 67
Mastered0
Review0
QuestionClick to flip
Discount on issue of debenture A/c is to be written off ___________.
AnswerClick to flip back
A
over the tenure of the debenture
💡 Explanation:
Discount on the issue of debentures is a capital loss that is amortized over the life of the debentures, matching the expense to the period the company benefits from the borrowed funds.