Post Utme Madonna University 2017 Accounting Question 1

Practice objective / multiple choice question 1 from the 2017 Post Utme Madonna University Accounting examination.

Post Utme Madonna University 2017 Accounting Objective / Multiple Choice
Question 1 POST_UTME_MADONNA_UNIVERSITY • 2017 • ACCOUNTING • objective

Determine the correct accounting treatment for the following transaction: On January 1, 2018, XYZ Ltd. issued 10,000, 10% debentures of ₦100 each at a discount of 5%.

Answer Options

Correct Answer A. ₦1,000,000 (face value) + ₦50,000 (discount)
B. ₦1,000,000 (face value) - ₦50,000 (discount)
C. ₦1,050,000 (face value + discount)
D. ₦950,000 (face value - discount)
Correct Answer
A
Correct Option:
₦1,000,000 (face value) + ₦50,000 (discount)

About This Question

This is Post Utme Madonna University 2017 Accounting Question 1. It is one of the objective questions from the 2017 Post Utme Madonna University Accounting examination.

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