Post Utme Lasu 2023 Accounting Question 40

Practice objective / multiple choice question 40 from the 2023 Post Utme Lasu Accounting examination.

Post Utme Lasu 2023 Accounting Objective / Multiple Choice

Question 40 POST_UTME_LASU • 2023 • ACCOUNTING • objective

A company issued 5,000 debentures of ₦100 each at a discount of 5%. The proceeds from the issue were credited to a debenture account. Prepare the journal entry to record the issue of debentures.

A. Debit Debenture 500,000, Credit Cash 495,000

Correct Answer B. Debit Debenture 500,000, Credit Debenture Discount 25,000

C. Debit Debenture 500,000, Credit Cash 500,000

D. Debit Debenture 500,000, Credit Debenture Discount 20,000

Correct Answer

Correct Option:

Debit Debenture 500,000, Credit Debenture Discount 25,000

This is Post Utme Lasu 2023 Accounting Question 40. It is one of the objective questions from the 2023 Post Utme Lasu Accounting examination.

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