Accounting JAMB

What is the balance of the ordinary share capital account after the first call was received?

Mamsa Nigeria Limited issued 20 000 ordinary shares of N1.50 per share on 2nd July 2002.
1500 ordinary shares were fully subscribed for and their monies received as below:

On application …………………….N0.40
On allotment ………………………N0.20
First call (including premium ofN0.50)..N0.70

 

A. N300
B. N1050
C. N1200
D. 1950

Correct Answer:

Option C – N1200

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