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JAMB Accounting 2013 Objective — Question 38

Question 38 of 50 from the Joint Admissions and Matriculation Board (JAMB) Accounting 2013 Objective paper, with the correct answer and a full explanation.

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When shares are issued at a discount, the entries are to debit

  • A. application and allotment account and credit discount accountCorrect
  • B. discount account and credit application and allotment account
  • C. cash account and credit discount account
  • D. discount account and credit bank account

Explanation

Dr: Application and Allotment A/c; Cr: Discount Account.

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