On January 1, 2014, the $1,000,000 par value bonds of Sinclair Corporation with a carrying value of $950,000 are converted to 500,000 common shares Journalize the conversion of the bonds ...

2014 Jan 1 Bonds Payable 10000 ...

On January 1, 2014, the $1,000,000 par value bonds of Sinclair Corporation with a carrying value of

Question:

On January 1, 2014, the $1,000,000 bonds of Sinclair with a carrying value of $950,000 are converted to 500,000 common shares. Journalize the conversion of the bonds.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...