Hi,
This is a redeemable debt measured at amortised cost/EIR method. I want to know the following:
1 lakh par value and issue costs 10 thousand.
Issued at Par; redeemed at Par- Redeemable amount calculated on 1 lakh or 90 thousand or closing balance of the amortisation in the last year?
I would like to know if redemption of debentures (Par, discount, premium) is calculated on
1. Nominal value 1 lakh
2. Issue proceeds/Opening liability (1 lakh-10 thousand) 90 thousand
3. Closing balance of last year in the amortisation table
This issue cost is preventing me from calculating the redemption amount. Please help me on this if redemption is calculated with or without issue costs.
CAclubindia
