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For each of the unrelated transactions described below, present the entries required to record the bond transactions. ( Credit account titles are automatically indented when
For each of the unrelated transactions described below, present the entries required to record the bond transactions. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select No Entry" for the account titles and enter for the amounts. Round answers to decimal places, eg List all debit entries before credit entries.
On August Crane Corpc in called its convertible bonds for conversion. The $ par bonds were converted into shares of $ par common stock. On August there was $ of the unamortized premium applicable to the bonds. The fair value of the common stock was $ per share. Ignore all interest payments.
Shamrock, Inc. decides to issue convertible bonds instead of common stock. The company issues convertible bonds, par $ at The investment banker indicates that if the bonds had not been convertible, they would have sold at
Gomez Company issues $ of bonds with a coupon rate of To help the sale, detachable stock warrants are issued at the rate of ten warrants for each $ bond sold. It is estimated that the value of the bonds without the warrants is $ and the value of the warrants is $ The bonds with the warrants sold at
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