Explain the nature of interest on debentures.

Q: Define Debenture bond.

A: Bonds: Bonds are long-term promissory notes that are issued by a company while borrowing money from…

Q: List the Elements ofTransactions Involving Interest?

A: The amount that is charged from the borrower over the borrowed amount or the amount that is provided…

Q: How to Use Compound Interest Factors for Annuities

A: Compound interest factor for annuities is used to compute the present and future value of annuities,…

Q: What is the difference between distributing property per capita and per stirpes?

A: Note: Since you have asked multiple questions, we will solve the first question for you. If you want…

Q: What is the estate equity (deficit) in the opening journal entry made by the receiver in its books?

A: Answered:

Q: What is the role of an actuary relative to pension plans?What are actuarial assumptions?

A: An actuarial valuation is a kind of evaluation and appraisal of the assets and liabilities of…

Q: Types of Trusts?

A: The types of trusts as follows: Living trust: One of the usually shaped trust is an inter vivos…

Q: What are the responsibilities of the executor of an estate?

A: Anyone can be an executor. It is usually one of the nominees or the person benefitting from the…

Q: Explain using practical example how a discount on a debenture is treated ?

A: Let us take an example Divya Ltd. issues Rs. 1, 00,000 debentures on Jan. 1, 2021, at 10 per cent…

Q: Explain the term Right of Entry: Lender in Possession?

A: The question is based on the concept of giving right of entry in case of mortgage arrangement in…

Q: Explain the meaning of Estate.

A: Accounting: Accounting is a system, or a process of collecting and organizing economic transactions,…

Q: Under which head is the ‘Debenture Redemption Reserve’ shown in the Balance Sheet?

A: Balance sheet: Balance Sheet is one of the financial statements that summarize the assets, the…

Q: What factors should be considered in determining the issue price of a debenture ?

A: Debentures are the long term debt issued to pursue a new project. Interest paid in debentures are…

Q: What is the role of trusts in estate planning?

A: The process of managing the assets of an individual or an organization until the death of the…

Q: What is a debenture bond?

A: Bonds:   Bonds are long-term promissory notes that are represented by a company while borrowing…

Q: What’s the difference between a call for sinking fund purposes and a refunding call?

A: Sinking fund: A sinking fund is a fund comprising money keep back or saved to settle a debt or bond.…

Q: Explain Transfer of Property or a Beneficial Interest in Borrower?

A: The question is based on the agreement of Mortgage loan in real estate deal.

Q: Define what "accrual" AJE transactions are.

A: Journal entries are made in the books of account to record the financial transactions of a business.…

Q: In computing the interest component of pension expense, what interest rates may be used?

A: Pension expense: Pension expense is an expense to the employer paid as compensation after the…

Q: What claims against an estate have priority?

A: Definition:   Priority claims of assets: When sufficient funds are not available then the order of…

Q: Give some examples of an insurable interest and explain why they are insurable.

A: Introduction: Insurable interest is nothing but an interest in the subject of an insurance policy…

Q: What is meant by Premium on redemption of debentures account?

A: Premium on redemption of debenture account: Premium on redemption of debenture is the amount paid to…

Q: What is the purpose of the accrual tranche?

A: The diverse CMO bunches are known as a tranche. Gathering tranche too known as Z tranche is the…

Q: What is meant by issue of debentures as “Purchase Consideration”.

A: Debenture is a long term or medium term debt instrument issued to borrow loan.

Q: What is meant by ‘Issue of debenture at discount and redeemable at premium?

A: Bonds:   Bonds are debt instruments issued by the borrower company to its lenders. Bonds are issued…

Q: What does issue of debentures for consideration other that cash means?

A: Debenture Issued for consideration other than cash:A company can purchase assets from other…

Q: What are QTIP trusts, GRATs, and charitable remainder trusts?

A: QTIP trust: It is also known as qualified terminable interest property. The grantor creates the QTIP…

Q: Define debenture

A: Debentures will be issued by corporations and governments to raise the funds easily from the public…

Q: Explain Property Type Swap?

A: Answer: Swap alludes to exchange with another between the parties involved in one monetary…

Q: What do you mean by “Trust Deed” in context of debenture?

A: A trust deed moreover called a deed of trust could be an archive that's often used in Joined…

Q: Define Executor.

A: Will:   A will is a statement made in the lifetime of the person. In his or her will, a person…

Q: What are the differences between a devise, a legacy, and a bequest?

A: Will:   A will is a statement made in the lifetime of the person. In his or her will, a person…

Q: When it comes to calculating interest, what procedures are used?

A: The Answer:

Q: How Grantor can Release from Assumed Debt?

A: Answer: Release of grantor from assumed debt: It is one of the assumptions of mortgage. When a…

Q: What are some types of divestitures?

A: A divestiture or divestment is the disposal of the company’s assets or a through sale, exchange,…

Q: legal reserve

A:

Q: Explain the term Verification of Borrower Assets?

A: Borrower is the person who take money on credit from a financial or non- financial institution.…

Q: How is certificate of deposit beneficial?

A: A certificates of deposit basically are a sort of the financial savings account that holds a sure…

Q: Explain Alternatives to Foreclosure?

A: Assets can be mortgaged by borrower with the lender to secure debt. Foreclosure is a process…

Q: What is the purpose of bond indenture?

A: Bonds:   Bonds are long-term promissory notes that are represented by a company while borrowing…

Q: Explain Valuation of Pension Obligations.

A: Pension obligations: Pension obligations of an employer under a defined benefit plan are to be found…