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help me please thank you Use the following information for the next three (3) questions: On January 1, 2022, Dirk Corporation issued 1,000 of its
help me please thank you
Use the following information for the next three (3) questions: On January 1, 2022, Dirk Corporation issued 1,000 of its January 1, 2017, 8%, 10 year, P1,000 face value bonds with detachable stock warrants at P1,250,000. Each bonds, which pays semi-annual interest every January 1 and July 1, carried 5 detachable warrants which entitle the holder to acquire one share of Dirk Corporation ordinary shares for every warrant at a specified option price of P55 per share. Immediately after the issuance the prevailing market rate of interest is at 10% and the market value of the warrants was P30. QUESTIONS: 18) How much is the equity component of the compound instrument? A. 404,611 B. 327,232 C. 325,837 D. 250,000 19) What is the carrying amount of the bonds as of December 31, 20227 A. 850,041 B. 928,906 C. 935,045 D. 935,366 20) How much is the interest expense in 2022? A. 93,212 B. 92,726 C. 92,585 D. 92,277 Step by Step Solution
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