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If a promoter pays a lawyer N5,000 for services rendered in preparing a Memorandum of...

Accounts - Principles of Accounts
JAMB 1999
If a promoter pays a lawyer N5,000 for services rendered in preparing a Memorandum of Incorporation, the journal entry is to debit?
  • A. preliminary expenses, credit cash accounts
  • B. promoter, credit creditors' accounts
  • C. lawyer's credit cash accounts
  • D. cash , credit incorporation accounts
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Correct Answer: Option A
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