you are required to show for the year ended 31 december 2010 i debentures a c ii sin 618219

X Ltd. issued Rs.24,00,000 debentures during 2009 on the following terms and conditions:

• A sinking fund to be created by yearly appropriations of profit and similar amount to be invested outside.
• The company will have the right to purchase for cancellation of debentures from the market if available below par value.
• The debentures are to be redeemed on 31 December 2010 at a premium of 2%. The following balances appeared in the books of the company as on 1 January 2010:

The following transactions took place during the subsequent 12 months:

• On 1 July 2010 Rs.1,20,000 debentures were purchased for Rs.1,06,656 and cancelled immediately, the amount being provided out of sale proceeds of investments of the book value of Rs.1,39,200 at Rs.1,35,600.
• The income from sinking fund investments Rs.88,800 received on 1 July 2010 was not invested.
• On 29 December 2010, Rs.16,92,000 were received on sale of the remaining sinking fund investments.
• On 31 December 2010, the remaining debentures were redeemed.

You are required to show for the year ended 31 December 2010: (i) debentures A/c; (ii) sinking fund account; (iii) sinking fund investments account and (iv) debenture redemption A/c [Model: Cum-interest and ex-interest].