Vijay Laxmi Ltd. invited applications for issuing 10,000; 12% Debentures of Rs.100 each at a premium of Rs.70 per debenture. The full amount was payable on application. Applications were received for 13,500 debentures. Applications for 3,500 debentures were rejected and application money was refunded. Debentures were allotted to the remaining applications.
Pass necessary Journal entries in the books of Vijay Laxmi Ltd. for the above transactions.
