Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. xyz xyz ltd. has issued 1,000, 12% convertible d

xyz XYZ Ltd. has issued 1,000, 12% convertible debentures of 100 each redeemable...

70.2K

Verified Solution

Question

Accounting

xyz image

XYZ Ltd. has issued 1,000, 12% convertible debentures of 100 each redeemable after a period of five years. According to the terms & conditions of the issue, these debentures were redeemable at a premium of 5%. The debenture holders also had the option at the time of redemption to convert 20% of their holdings into equity shares of 10 each at a price of 20 per share and balance in cash. Debenture holders amounting : 20,000 opted to get their debentures converted into equity shares as per terms of the issue. You are required to calculate the number of shares issued and cash paid for redemption of 20,000 debenture holders

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students