Lulu's Balance Sheet on December 31, 2012 included the following: Par value of Common Stock is $1. At beginning of 2013, the market value of common stock is $32. At the end of 2013, the market value of common stock is $37. Each bond has a face value of $1,000. The Stock Warrants Outstanding have been on the books at $4,000 since they were sold with the bonds since none have yet been exercised by 12/31/12. Bonds Payable with stock warrants attached were sold in 2003 for 102 for both of them, a package deal. (Note, when you are done, the bonds payable will be at a discount. Part of the package sold at 102 was for the warrants. The rest belongs to the bond part of the package.) Each bond is callable at 104 at the beginning of 2022. Each bond was issued with 40 detachable stock warrants that can be exercised at the beginning of 2013. Exercise price of one stock warrant is $25 and each warrant can be exercised to get one share of common stock. Do the entry for when the bonds and detachable stock warrants were sold in 2003. In December, 2013, 40% of the stock warrants were exercised. Do the entry for the exercise of these warrants. Why were these warrants exercised by the end of 2013? Do you think the rest of the stock warrants will be exercised? Why or why not