Value of 12\% government securities as at 31 March 2021 was Rs. 85,000 which were purchased at that date at par. Additional 12\% securities worth Rs. - Accountancy MCQ CUET Accountancy 2022 23 Aug Shift 2 PYQs 2026 | ExamTest.live

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Value of 12% government securities as at 31 March 2021 was Rs. 85, 000 which were purchased at that date at par. Additional 12% securities worth Rs. 50, 000 were purchased on 31 March, 2022. Total interest debited to receipts and payments A/c during the year on the above securities is Rs. 9, 000 . calculate Accrued interest on 31 March, 2022.

Solution & Step-by-step Explanation

Interest is calculated on the opening balance of securities, since the new securities were purchased on the last day of the year (31 March 2022).Interest earned for the year = 12% of 85, 000 = Rs. 10, 200 .Interest actually received (given in R&P A/c) = Rs. 9, 000 .Accrued interest (earned but not received) = Total Interest earned - Interest receivedAccrued interest = 10, 200 - 9, 000 = Rs. 1, 200 .

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Value of 12% government securities as at 31 March 2021 was Rs. 85, 000 which were purchased at that date at par. Additional 12% securities worth Rs. 50, 000 were purchased on 31 March, 2022. Total interest debited to receipts and payments A/c during the year on the above securities is Rs. 9, 000 . calculate Accrued interest on 31 March, 2022.

Rs. 1, 200

Rs. 10, 200

Rs. 11, 400

Rs. 7, 200

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