Question
A company issued $700,000 of 9%, ten-year convertible bonds on January 1, 2020 at 95, with interest payable July 1 and January 1.Bond discount/premium is
A company issued $700,000 of 9%, ten-year convertible bonds on January 1, 2020 at 95, with interest payable July 1 and January 1.Bond discount/premium is amortized semiannually on a straight-line basis. On July 1, 2023, these bonds were converted into common stock. What should be the amount of the unamortized bond discount/premium on July 1, 2023 relating to the bonds converted?
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Intermediate accounting
Authors: J. David Spiceland, James Sepe, Mark Nelson
7th edition
978-0077614041, 9780077446475, 77614046, 007744647X, 77647092, 978-0077647094
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