Multiple Choice Questions on Loss on issue of Debentures is generally written off in ........ for SEBI Grade A ( Officer) Exam Preparation

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Multiple Choice Questions

Loss on issue of Debentures is generally written off in ........

Accountancy (Phase -I & II) Accounting for Shares
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    Loss on issue of Debentures is generally written off in 

    Over the period of redemption 

    Correct Answer

    10 years 

    Incorrect Answer

    8 years 

    Incorrect Answer

    15 years

    Incorrect Answer
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    Explanation:

    The loss or discount on issue of debentures is typically a capital loss or a fictitious asset and, hence, has to be written-off during the debentures' lifetime.

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