Post Utme Crawford University 2018 Accounting Question 21

Practice objective / multiple choice question 21 from the 2018 Post Utme Crawford University Accounting examination.

Post Utme Crawford University 2018 Accounting Objective / Multiple Choice
Question 21 POST_UTME_CRAWFORD_UNIVERSITY • 2018 • ACCOUNTING • objective

A company issued 10,000 shares of 1 par value at a premium of 3 per share. The company also issued 5,000 debentures of 100 each. Prepare the journal entry to record the issuance of shares and debentures.

Answer Options

A. Debit Cash 30,000, Credit Common Stock 10,000, Credit Paid-in Capital in Excess of Par Value 20,000
B. Debit Cash 50,000, Credit Common Stock 10,000, Credit Paid-in Capital in Excess of Par Value 40,000
Correct Answer C. Debit Cash 30,000, Credit Common Stock 10,000, Credit Paid-in Capital in Excess of Par Value 20,000
D. Debit Cash 50,000, Credit Common Stock 10,000, Credit Paid-in Capital in Excess of Par Value 40,000
Correct Answer
C
Correct Option:
Debit Cash 30,000, Credit Common Stock 10,000, Credit Paid-in Capital in Excess of Par Value 20,000

About This Question

This is Post Utme Crawford University 2018 Accounting Question 21. It is one of the objective questions from the 2018 Post Utme Crawford University Accounting examination.

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