The Nice Corporation issues 8,000 preference shares with a of $100 par value for cash at $110 per share.The entry to record the transaction will consist of a debit to Cash for $880,000 and a credit or credits to

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The entry to record the issuance of preference shares at a premium involves debiting Cash for the amount received, which is $880,000. The credit side of the entry will include two accounts: Preference Shares and Share Premium-Preference Shares. The par value of the 8,000 preference shares is $100, which amounts to $800,000 (8,000 shares x $100 per share). Since the shares were issued at $110 per share, they were sold at a premium of $10 per share. The total amount of the premium is $80,000 (8,000 shares x $10 premium per share). Therefore, the credit portion of the entry will be split between Preference Shares for $800,000 and Share Premium-Preference for $80,000. Choice D is the only option that includes both of these accounts.

The Nice Corporation Issues 8,000 Preference Shares with a of $100