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On 1st April, 2024, DD… (Class 12 Accountancy 2026, Q12)

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AccountancyCBSE Class 12 · Board exam 2026, set 67/5/1 · 1 mark · MCQ

CBSE Class 12 Accountancy 2026: question 12

Set in the CBSE Class 12 board exam of 2026, paper 67/5/1, section A, question 12, for 1 mark. Try it first; the hints and our step-by-step solution are below.

Q12 · 1 mark · MCQIssue and Redemption of Debentures

On 1st April, 2024, DD Ltd. issued 2,000, 9% Debentures of ₹ 50 each at a premium of 5%, redeemable at a premium of ₹ 10 per debenture after five years. Interest on the debentures was to be paid on half-yearly basis on 30th September and 31st March. Interest on the debentures for the year ended 31st March, 2025 will be :

  1. (A)₹ 4,500
  2. (B)₹ 9,000
  3. (C)₹ 9,450
  4. (D)₹ 4,725

Source: official question paper from cbse.gov.in (PDF). See it in the full 2026 board paper, set 67/5/1.

Hints

Open one hint at a time and try again before the next.

Hint 1

Interest is calculated on nominal (face) value.

Hint 2

Add both half-yearly payments.

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Interest is always on the face value: 2,000 × ₹ 50 = ₹ 1,00,000. Issue premium and redemption premium do not change it.

  2. Interest for the year = 9% of 1,00,000 = ₹ 9,000 (₹ 4,500 each half-year). Option (B).

    1 mark

Answer: (B) ₹ 9,000

Where the marks are

  • 9% on face value for a full year (1 mark)

Revise the chapter

Practise this chapterBoard-style questions from Issue and Redemption of Debentures, one at a time, marked against the answer key and marking points.Back to the full paper2026 board paper, set 67/5/1: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.