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can you please solve this question as fast as you can On January 1, 2020, Kiju Corp. issued $1.1 million of five-year, zero-interest-bearing notes along
can you please solve this question as fast as you can
On January 1, 2020, Kiju Corp. issued $1.1 million of five-year, zero-interest-bearing notes along with warrants to buy 1 million common shares at $22 per share. On January 1, 2020, Kiju had 9.3 million common shares outstanding and the market price was $21 per share. Kiju Corp. received $1 million for the notes and warrants. If offered alone, on January 1, 2020, the notes would have been issued to yield 11% to the creditor. Assume that the company follows IFRS. Answer the following questions, rounding all numbers to the nearest dollar. a. Prepare the journal entry(ies) to record the issuance of the zero-interest-bearing notes and warrants for the cash consideration that was received. b. Prepare an amortization table for the notes using the effective interest method. c. Prepare adjusting journal entries for Kiju Corp. at the end of its fiscal year of December 31, 2020. d. Prepare the journal entry required for Kiju Corp. if a quarter of the warrants are exercised on January 1, 2023Step by Step Solution
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