2. On 1st April, 2017, Jumbo Ltd. issued 10,000; 12% debentures of Rs. 100 each a discount of 20%, redeemable after 5 years. The company decided to write-off discount on issue of such debentures over the life time of the Debentures. Show the items in the balance sheet of the company immediately after the issue of these debentures.
Balance Sheet
AS at 1 April,2017
| Particulars | Note No. | Amount | |
| I | Equity and Liability | ||
| 1. Share holders Fund | |||
| a. Reserve and Surplus | |||
| 2. Non-current Liabilities | 1 | 10,00,000 | |
| a. Long term Borrowing | |||
| 3. Current Liabilities | |||
| a. Other Current Liabilities | |||
| b. Short term Provision | |||
| Total | 10,00,000 | ||
| II | Assets | ||
| 1. Non-current assets | |||
| a. Other non-Current assets | 2 | 1,60,000 | |
| 2. Current assets | |||
| c. Cash and Cash equivalents | 3 | 8,00,000 | |
| d. Other Current Liabilities | 4 | 40,000 | |
| Total | 10,00,00 |
| Particulars | Amount (Rs.) | |
| 1. Long-term Borrowing | ||
| 12% Debentures | 10,00,000 | |
| 2. Other non-Current assets | ||
| Discount on Issue of Debentures | 1,60,000 | |
| 3. Other Current Asset | ||
| Discount on Issue of Debentures | 40,000 | |
| 4. Cash and Cash Equivalents | ||
| Bank | 8,00,000 |