Journal entries for stock warrants. Kiersten Corporation sells 60.000 common stock warrants for $4 each on February 26, Year 12. Each warrant permits its holder to purchase a share of the firm's $10 par value common stock for $30 per share at any time during the next two years. The market price of the common shares was $20 per share on February 26. Year 1 2.

Holders of 40,000 warrants exercised their warrants on June 6, Year 14, at a time when the market price of the stock was $38 per share. Kiersten Corporation experienced a major uninsured loss from a fire late in Year 14 and its market price fell immediately to $22 per share. The market price remained around $22 until the stock warrants expired on February 26. Year 16. Present journal entries on February 26, Year 12; June 6, Year 14: and February 26. Year 16. relating to these stock warrants.