Post Utme Elizade University 2022 Accounting Question 36

Practice objective / multiple choice question 36 from the 2022 Post Utme Elizade University Accounting examination.

Post Utme Elizade University 2022 Accounting Objective / Multiple Choice
Question 36 POST_UTME_ELIZADE_UNIVERSITY • 2022 • ACCOUNTING • objective

A company issued 5,000 shares of 10 par value at a premium of 5 per share. The company also issued 2,000 debentures of 100 each. Prepare the journal entry to record the issuance of these securities.

Answer Options

A. Debit Cash 50,000, Credit Common Stock 50,000
Correct Answer B. Debit Cash 50,000, Credit Common Stock 50,000, Credit Debiture 200,000
C. Debit Cash 50,000, Credit Common Stock 50,000, Credit Retained Earnings 200,000
D. Debit Cash 50,000, Credit Common Stock 50,000, Credit Debiture 100,000
Correct Answer
B
Correct Option:
Debit Cash 50,000, Credit Common Stock 50,000, Credit Debiture 200,000

About This Question

This is Post Utme Elizade University 2022 Accounting Question 36. It is one of the objective questions from the 2022 Post Utme Elizade University Accounting examination.

View More Post Utme Elizade University 2022 Accounting Questions More Post Utme Elizade 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