Post Utme Redeemers University 2023 Accounting Question 6

Practice objective / multiple choice question 6 from the 2023 Post Utme Redeemers University Accounting examination.

Post Utme Redeemers University 2023 Accounting Objective / Multiple Choice
Question 6 POST_UTME_REDEEMERS_UNIVERSITY • 2023 • ACCOUNTING • objective

A company issued 10,000 shares of 1 par value at a premium of 3 per share. The company also issued 5,000 debentures of 100 each. Prepare the journal entry to record the issue of shares and debentures.

Answer Options

A. Debit Cash 30,000, Credit Share Capital 30,000, Debit Debenture Liability 500,000
Correct Answer B. Debit Cash 30,000, Credit Share Capital 30,000, Credit Debenture Liability 500,000
C. Debit Cash 30,000, Credit Share Capital 30,000, Debit Debenture Liability 500,000
D. Debit Cash 30,000, Credit Share Capital 30,000, Credit Cash 500,000
Correct Answer
B
Correct Option:
Debit Cash 30,000, Credit Share Capital 30,000, Credit Debenture Liability 500,000

About This Question

This is Post Utme Redeemers University 2023 Accounting Question 6. It is one of the objective questions from the 2023 Post Utme Redeemers University Accounting examination.

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