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Shares can be issued at a price higher than face value. This is called issue at

APar
BDiscount
CPremium
DBonus
Answer & Solution
Correct answer: C. Premium
1. When the issue price exceeds the face value, the excess is share premium. 2. Premium is credited to the Securities Premium A/c. 3. Issue at par means face value; issue at discount is now restricted under the Companies Act 2013. 4. Hence (C) is correct. _Source: Maharashtra Balbharati Std XII Book-Keeping & Accountancy, Ch 8 "Company Accounts - Issue of Shares", §8.1 ¶§8.1_
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