Post Utme Rsu 2020 Accounting Question 25

Practice objective / multiple choice question 25 from the 2020 Post Utme Rsu Accounting examination.

Post Utme Rsu 2020 Accounting Objective / Multiple Choice

Question 25 POST_UTME_RSU • 2020 • ACCOUNTING • objective

A company issued 5,000 shares of 10 par value at a premium of 5 per share. Prepare the journal entry for the issue of these shares.

A. Debit Cash 25,000, Credit Common Stock 50,000

Correct Answer B. Debit Common Stock 50,000, Credit Paid-in Capital in Excess of Par Value 25,000

C. Debit Common Stock 50,000, Credit Cash 25,000

D. Debit Paid-in Capital in Excess of Par Value 25,000, Credit Common Stock 50,000

Correct Answer

Correct Option:

Debit Common Stock 50,000, Credit Paid-in Capital in Excess of Par Value 25,000

This is Post Utme Rsu 2020 Accounting Question 25. It is one of the objective questions from the 2020 Post Utme Rsu Accounting examination.

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