Post Utme Achievers University 2022 Accounting Question 23

Practice objective / multiple choice question 23 from the 2022 Post Utme Achievers University Accounting examination.

Post Utme Achievers University 2022 Accounting Objective / Multiple Choice
Question 23 POST_UTME_ACHIEVERS_UNIVERSITY • 2022 • ACCOUNTING • objective

A company issued 10,000 shares of ₦ 1 each at a premium of ₦ 0.50 per share. The issue expenses were ₦ 5,000. Prepare the journal entry for the issue of shares.

Answer Options

A. Debit Share Capital ₦ 10,000, Credit Share Premium ₦ 5,000, Credit Issue Expenses ₦ 5,000
B. Debit Share Capital ₦ 10,000, Credit Share Premium ₦ 10,000
Correct Answer C. Debit Share Capital ₦ 10,000, Credit Share Premium ₦ 5,000, Credit Issue Expenses ₦ 5,000
D. Debit Share Capital ₦ 10,000, Credit Share Premium ₦ 10,000, Credit Issue Expenses ₦ 5,000
Correct Answer
C
Correct Option:
Debit Share Capital ₦ 10,000, Credit Share Premium ₦ 5,000, Credit Issue Expenses ₦ 5,000

About This Question

This is Post Utme Achievers University 2022 Accounting Question 23. It is one of the objective questions from the 2022 Post Utme Achievers University Accounting examination.

View More Post Utme Achievers University 2022 Accounting Questions More Post Utme Achievers University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support