An ordinary share of N80 was issued at N96. The share was issued at?

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Accounts - Principles of Accounts JAMB 2010

An ordinary share of N80 was issued at N96. The share was issued at?

  • premium checkmark
  • par
  • discount
  • loss

The correct answer is: A

Explanation

Share premium is the amount by which the amount received by a company for a stock issue exceeds its face value. when shares are sold at an amount higher than the face value it is sold at premium

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