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Madina Corporation was formed on 1 April 2016 with an authorized capital of OMR 8,000,000...

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Accounting

Madina Corporation was formed on 1 April 2016 with an authorized capital of OMR 8,000,000 divided into common stock of OMR 0.500 each. During the year, the business came up with an Initial Public Offer of issuing 4,000,000 equity shares at OMR 0.500 each. How would you record this par value issue as a journal entry in the books of Madina corporation?
a.
Bank Dr 2,000,000 OMR / Equity share capital Cr 2,000,000 OMR
b.
Equity share capital Dr 2,000,000 OMR/ Bank Cr 2,000,000 OMR
c.
Equity share capital Dr 4,000,000 OMR/ Bank Cr 4,000,000 OMR
d.
Bank Dr 4,000,000 OMR / Equity share capital Cr 4,000,000 OMR

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