{"id":55592,"date":"2024-04-16T00:30:01","date_gmt":"2024-04-16T00:30:01","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=55592"},"modified":"2024-04-16T00:30:01","modified_gmt":"2024-04-16T00:30:01","slug":"premium-received-on-the-issue-of-shares-is-shown-in","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/","title":{"rendered":"Premium received on the issue of shares is shown in:"},"content":{"rendered":"<p>[amp_mcq option1=&#8221;Debit side of Profit and Loss Account&#8221; option2=&#8221;Credit side of Profit and Loss Account&#8221; option3=&#8221;Assets side of the Balance Sheet&#8221; option4=&#8221;Liabilities side of the Balance Sheet&#8221; correct=&#8221;option4&#8243;]<!--more--><\/p>\n<p>The correct answer is: D. Liabilities side of the Balance Sheet.<\/p>\n<p>Premium received on the issue of shares is a liability because it is a debt that the company owes to the shareholders. The company must repay the premium to the shareholders if they decide to sell their shares.<\/p>\n<p>The debit side of the Profit and Loss Account is used to record expenses, while the credit side is used to record income. The assets side of the Balance Sheet is used to record the company&#8217;s assets, while the liabilities side is used to record the company&#8217;s liabilities.<\/p>\n<p>Here is a more detailed explanation of each option:<\/p>\n<ul>\n<li>Option A: Debit side of Profit and Loss Account. This is incorrect because premium received on the issue of shares is a liability, not an expense.<\/li>\n<li>Option B: Credit side of Profit and Loss Account. This is incorrect because premium received on the issue of shares is a liability, not income.<\/li>\n<li>Option C: Assets side of the Balance Sheet. This is incorrect because premium received on the issue of shares is a liability, not an asset.<\/li>\n<li>Option D: Liabilities side of the Balance Sheet. This is the correct answer because premium received on the issue of shares is a liability.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>[amp_mcq option1=&#8221;Debit side of Profit and Loss Account&#8221; option2=&#8221;Credit side of Profit and Loss Account&#8221; option3=&#8221;Assets side of the Balance Sheet&#8221; option4=&#8221;Liabilities side of the Balance Sheet&#8221; correct=&#8221;option4&#8243;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[85],"tags":[],"class_list":["post-55592","post","type-post","status-publish","format-standard","hentry","category-accounting","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Premium received on the issue of shares is shown in:<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Premium received on the issue of shares is shown in:\" \/>\n<meta property=\"og:description\" content=\"[amp_mcq option1=&#8221;Debit side of Profit and Loss Account&#8221; option2=&#8221;Credit side of Profit and Loss Account&#8221; option3=&#8221;Assets side of the Balance Sheet&#8221; option4=&#8221;Liabilities side of the Balance Sheet&#8221; correct=&#8221;option4&#8243;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/\" \/>\n<meta property=\"og:site_name\" content=\"MCQ and Quiz for Exams\" \/>\n<meta property=\"article:published_time\" content=\"2024-04-16T00:30:01+00:00\" \/>\n<meta name=\"author\" content=\"rawan239\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"rawan239\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Premium received on the issue of shares is shown in:","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/","og_locale":"en_US","og_type":"article","og_title":"Premium received on the issue of shares is shown in:","og_description":"[amp_mcq option1=&#8221;Debit side of Profit and Loss Account&#8221; option2=&#8221;Credit side of Profit and Loss Account&#8221; option3=&#8221;Assets side of the Balance Sheet&#8221; option4=&#8221;Liabilities side of the Balance Sheet&#8221; correct=&#8221;option4&#8243;]","og_url":"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/","og_site_name":"MCQ and Quiz for Exams","article_published_time":"2024-04-16T00:30:01+00:00","author":"rawan239","twitter_card":"summary_large_image","twitter_misc":{"Written by":"rawan239","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/","url":"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/","name":"Premium received on the issue of shares is shown in:","isPartOf":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#website"},"datePublished":"2024-04-16T00:30:01+00:00","dateModified":"2024-04-16T00:30:01+00:00","author":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209"},"breadcrumb":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/exam.pscnotes.com\/mcq\/premium-received-on-the-issue-of-shares-is-shown-in\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/exam.pscnotes.com\/mcq\/"},{"@type":"ListItem","position":2,"name":"mcq","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/"},{"@type":"ListItem","position":3,"name":"accounting","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/accounting\/"},{"@type":"ListItem","position":4,"name":"Premium received on the issue of shares is shown in:"}]},{"@type":"WebSite","@id":"https:\/\/exam.pscnotes.com\/mcq\/#website","url":"https:\/\/exam.pscnotes.com\/mcq\/","name":"MCQ and Quiz for Exams","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/exam.pscnotes.com\/mcq\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209","name":"rawan239","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","caption":"rawan239"},"sameAs":["https:\/\/exam.pscnotes.com"],"url":"https:\/\/exam.pscnotes.com\/mcq\/author\/rawan239\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/55592","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/comments?post=55592"}],"version-history":[{"count":0,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/55592\/revisions"}],"wp:attachment":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/media?parent=55592"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/categories?post=55592"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/tags?post=55592"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}