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. 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.

The total amount of money received on application was?

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

jamb 2007 accounting

The correct answer is A. N560 000

No explanation given

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