Question
on September 1st, 2014, Sands company sold at 104 plus accrued interest 7800 of its 9%, 10 year, $1,000 face value, non convertible bonds with
on September 1st, 2014, Sands company sold at 104 plus accrued interest 7800 of its 9%, 10 year, $1,000 face value, non convertible bonds with detachable stock warrants. Each Bond carried two detachable warrants. Each warrant was for one share of common stock at a specified option price of $15 per share. Shortly after issuance, the warrants were quoted on the market for $4 each. No fair value can be determined for the Sands company bonds. Interest is payable on December 1st and June 1st. Bond issue cost of $39,700 were incurred. Prepare in general journal format the entry to record the issuance of the bonds. There are six journal entries
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