Post Utme Unilag 2021 Accounting Question 28

Practice objective / multiple choice question 28 from the 2021 Post Utme Unilag Accounting examination.

Post Utme Unilag 2021 Accounting Objective / Multiple Choice
Question 28 POST_UTME_UNILAG • 2021 • ACCOUNTING • objective

A company issued 5% debentures of £ 1,000 each at a premium of £ 50 per debenture. The issue expenses were £ 2,000. Prepare the journal entry for the issue of debentures.

Answer Options

A. Debit Debenture Capital £ 55,000, Credit Cash £ 55,000
Correct Answer B. Debit Debenture Capital £ 52,000, Credit Cash £ 52,000
C. Debit Debenture Capital £ 52,000, Credit Cash £ 55,000
D. Debit Debenture Capital £ 55,000, Credit Cash £ 52,000
Correct Answer
B
Correct Option:
Debit Debenture Capital £ 52,000, Credit Cash £ 52,000

About This Question

This is Post Utme Unilag 2021 Accounting Question 28. It is one of the objective questions from the 2021 Post Utme Unilag Accounting examination.

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