Accounting JAMB

The total amount of money received on application was?

Use the information below to answer question

A company’s authorized share capital was one million ordinary shares at N1 each. Issued 80% of its shares at N1.10 per share. 70k was payable on application, 25k on allotment, 10k due on first call and the balance on second call.

A. N560 000
B. N220 000
C. N800 000
D. N1000 000

Correct Answer:

Option A – N560 000

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