Question
On January 1, 2003, Martinez Corp. issued $2,000,000 of 10% bonds which may be converted into total 10,000 shares of $5 par value ordinary shares.
On January 1, 2003, Martinez Corp. issued $2,000,000 of 10% bonds which may be converted into total 10,000 shares of $5 par value ordinary shares. The market interest rate of is 12%. Interest is payable annually on December 31, and the bonds were issued at par. The maturity date is December 31, 2007. Which of the following is correct for the journal entry on January 1, 2003, under IFRS?
A) Share premium conversion option $1,855,816 is debited.
B) Share premium conversion option $1,855,816 is credited.
C) Share premium conversion option $144,184 is debited.
D) Share premium conversion option $144,184 is credited.
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Loss Control Auditing A Guide For Conducting Fire Safety And Security Audits
Authors: E. Scott Dunlap
2nd Edition
103244293X, 978-1032442938
