Question

When shares issued at premium which of the
following account is credited ?
Share premium account
Share first call account
Share allotment account
Share forfeited account​

Answer 1

Answer:

share premium account

Answer 2

Answer:

The correct answer is option A

Step-by-step explanation:

• When the company decides to issue shares at a price higher than the nominal value or face value we call it shares issued at a premium. It is quite a common practice especially when the company has a great track record and strong financial performances and standing in the market.
• So say the face value of a share is Rs 100/- and the company issues it at Rs 110/-. The share is said to have been issued at a 10% premium. The premium will not make a part of the Share Capital account but will be reflected in a special account known as the Securities Premium Account.
• Now, this amount of premium can be called up by the company at any given time, i.e. with any call. The general norm is to collect the premium with either allotment or application money, rarely with call money. The premium amount as we discussed is credited to the Securities Premium Account. This account is found under the heading of Reserves and Surplus on the liabilities side of the Balance Sheet.

Reference Link

https://brainly.in/question/34696954