Post Utme Ims U 2025 Accounting Question 13

Practice objective / multiple choice question 13 from the 2025 Post Utme Ims U Accounting examination.

Post Utme Ims U 2025 Accounting Objective / Multiple Choice
Question 13 POST_UTME_IMS_U • 2025 • ACCOUNTING • objective

A company issued 10,000 shares of ₦ 1 each at a premium of ₦ 3 per share. The issue expenses were ₦ 20,000. Prepare the journal entry for the issue of shares.

Answer Options

Correct Answer A. Debit Share Capital ₦ 70,000, Credit Share Premium ₦ 30,000, Credit Issue Expenses ₦ 20,000
B. Debit Share Capital ₦ 60,000, Credit Share Premium ₦ 30,000, Credit Issue Expenses ₦ 20,000
C. Debit Share Capital ₦ 70,000, Credit Share Premium ₦ 40,000, Credit Issue Expenses ₦ 20,000
D. Debit Share Capital ₦ 60,000, Credit Share Premium ₦ 40,000, Credit Issue Expenses ₦ 20,000
Correct Answer
A
Correct Option:
Debit Share Capital ₦ 70,000, Credit Share Premium ₦ 30,000, Credit Issue Expenses ₦ 20,000

About This Question

This is Post Utme Ims U 2025 Accounting Question 13. It is one of the objective questions from the 2025 Post Utme Ims U Accounting examination.

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