1. On August 1, 2019, Light Corporation called its 8% convertible bonds for conversion. The bond had 7,000,000 par value and 700,000 unamortized premium on the conversion day and were converted into 220,000 shares of 25 par ordinary shares. The Share PremiumConversion Equity account had a balance of 400,000. The fair value of the ordinary shares was 20 per share. Ignore all interest payments.

2. Peace Inc. issued 10% convertible bonds with par value of 2,000,000, at 96. If the bonds had not been convertible they would have sold at 93.

3. Goodness Company issued 4,500,000 of bonds with a coupon rate of 8% and detachable share warrants at the rate of ten warrants for each 1,000 bond sold. It was estimated that the fair value of the bonds without the warrants is 4,350,000. The bonds with the warrants sold at 102.