Exercise 16-01 For each of the unrelated transactions described below. present the entries required to record each transaction. 1. Concord Corp. issued $20,100,000 par value 10% convertible bonds at 98. If the bonds had not been convertible, the company's Investment banker estimates they would have been sold at 95 2. Marigold Company issued $20,100,000 par value 1096 bonds at 97. One detachable stock purchase warrant was issued with each $100 par value bond. At the time of issuance, the warrants were selling for 54 3. Suppose Sepracor, Inc. called its convertible debt in 2020. Assume the following related to the transaction. The 11%, 59,100,000 par value bonds were converted into 910,000 shares of S1 par value common stock on July 1, 2020. On July 1. there was $60,000 of unamortized discount applicable to the bonds, and the company paid an additional 581,000 to the bondholders to induce conversion of all the bonds. The company records the conversion using the book value method (Credit accountries are automatically indented when amount is entered. Do nor indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts.) No. Account Titles and Explanation Debit Credit 1. Cash Discount on Bonds Payable Bonds Payable Cash Discount on Bonds Payable Bonds Payable Paid-in Capital Stock Warrant 3. Debt Conversion Expense Vi 2018 Bonds Pavable in the W oning 1. Cash Discount on Bonds Payable Bonds Payable 2. Cash Discount on Bonds Payable Bonds Payable Paid-in Capital-Stock Warrant: 3. Debt Conversion Expense Bonds Payable Discount on Bonds Payable Common Stock Paid-in Capital in Excess of P Cash Click if you would like to Show Work for this question: Qen Show Work Poly 1.2000-20:20 John W .ASO . All Right Reserved. A Divato W o ning