ABC Associates issued 3,100 of its 1,000, 5-year par value bonds. There are no bond issue costs. Interest is paid annually. The market rate on the date of issue was 11%. The market price of ABC common shares on the date that the bonds are issued is $90 per share. The bonds were sold with 108,500 warrants to acquire 108,500 shares of the company's $2 par value common stock for 80 per share. That is, each bond carries 35 warrants. ABC has existing bonds outstanding that trade without warrants at $910. There are other ABC warrants outstanding that trade for $80 each.

a.	Determine the issue price of the bonds.
b.	Prepare the journal entry to record the issuance of the bonds assuming that the warrants are nondetachable.
c.	Prepare the journal entry to record the issuance of the bonds assuming that the warrants are detachable using the proportional method.
d.	Prepare the journal entry to record the issuance of the bonds assuming that the warrants are detachable using the incremental method. Assume that the fair value of the bonds is more reliable.
e.	Assuming that the incremental method is used, prepare the journal entry required to record the exercise of all warrants.