Post Utme Nile University 2022 Accounting Question 6

Practice objective / multiple choice question 6 from the 2022 Post Utme Nile University Accounting examination.

Post Utme Nile University 2022 Accounting Objective / Multiple Choice
Question 6 POST_UTME_NILE_UNIVERSITY • 2022 • ACCOUNTING • objective

A company issued 5,000 shares of 10 par value at a premium of 5 per share. The proceeds from the issue of shares were credited to a 'Share Capital' account. Prepare the journal entry to record the issue of shares.

Answer Options

Correct Answer A. Debit Share Capital 50,000, Credit Cash 50,000
B. Debit Share Capital 50,000, Credit Cash 25,000
C. Debit Share Capital 50,000, Credit Cash 75,000
D. Debit Share Capital 50,000, Credit Cash 100,000
Correct Answer
A
Correct Option:
Debit Share Capital 50,000, Credit Cash 50,000

About This Question

This is Post Utme Nile University 2022 Accounting Question 6. It is one of the objective questions from the 2022 Post Utme Nile University Accounting examination.

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