Brief Exercise 16-11 On January 1, 2020, Crane Ltd. issued 970 5-year, 11% convertible bonds at par of $1,000, with interest payable each December 31. Each bond is convertible into 100 common shares, and the current fair value of each common share is $6. Similar straight bonds carry an interest rate of 13%. X Your answer is incorrect. Try again. Calculate the PV of the debt component by itself. Calculate using any of the following methods: (1) factor tables, (2) a financial calculator, or (3) Excel function PV. (For calculation purposes, use 5 decimal places as displayed in the factor table provided. Round answers to 0 decimal places, e.g. 5,275.) PV of the debt component 867649 Your answer is partially correct. Try again. How should Crane record the issuance if it follows IFRS? Use the amount you arrived at in part (a) using a financial calculator or Excel. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Round answers to 0 decimal places, e.g. 5,275.) Date Account Titles and Explanation Debit Credit January 1 Cash 970000 Bonds Payable 867649 Contributed Surplus - 102351