If shares of Rs 4 00 000 are issued for purchase of assets of Rs 5 00 000 Rs 1 00 000 will be t...........

General Accounting Principles Accounting for Shares

If shares of Rs 4,00,000 are issued for purchase of assets of Rs 5,00,000, Rs 1,00,000 will be treated as ……………………. :

Discount

Premium

Profit

Loss

if shares are issued to vendor at a premium:

Vendor,s a/c DR. Rs.5,00,000

TO share capital a/c RS. 4,00,000

TO security premium reserve a/c Rs. 1,00,000

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