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ETK's (12)/(31)/21 Balance Sheet reported the following information: 7.8% registered bonds callable at 107 beginning in 2031 , due 2035 (net of unamortized discount of

ETK's

(12)/(31)/21

Balance Sheet reported the following information:\

7.8%

registered bonds callable at 107 beginning in 2031 , due 2035 (net of unamortized\ discount of

$2

million)

$53

million\ Equity - Stock Warrants

$5

million\ The company disclosed the following information regarding their

7.8%

bonds: "The bonds were\ issued in 2012 at 105 to yield

10%

. Interest is paid semiannually on June 30 and December 31 .\ Each

$1,000

bond was issued with 40 detachable stock warrants, each of which entitles the\ holder to purchase one share of the Company's

$1

par common stock for

$35

, beginning 2022."\ How much did total liabilities increase when the bonds were issued in

2012_()

?

image text in transcribed
1. ETK's 12/31/21 Balance Sheet reported the following information: - 7.8% registered bonds callable at 107 beginning in 2031 , due 2035 (net of unamortized discount of $2 million) $53 million - Equity - Stock Warrants $5 million The company disclosed the following information regarding their 7.8% bonds: "The bonds were issued in 2012 at 105 to yield 10%. Interest is paid semiannually on June 30 and December 31. Each $1,000 bond was issued with 40 detachable stock warrants, each of which entitles the holder to purchase one share of the Company's $1 par common stock for $35, beginning 2022." How much did total liabilities increase when the bonds were issued in 2012

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