The opening balances in the shareholders' equity section of Goldman investments Ltd. is shown below. Goldman is based in Toronto and follows if reporting purposes. 10 Common shares, 1,320,700 shares authorized, 352,900 shares issued and outstanding fletained eamings 12 During the current year, the following transactions occurred: 1. The company lisued 100,000 rights to the shareholders. Fifteen rights are needed to buy one share at $37 and the rights are void after 30 days. The 15 shares' market price at this time was $32 per share. 2. The company sold the public a $200,000,10% bond issae at par. The company also issued with each $100 bond one detachable stock purchase warrant, 16 warrants at $8, 3. All but 10,000 of the rights issued in item 1 were exercised in 30 days: 4. At the end of the year, 805 of the warrants in item 2 had been exerclsed, and the remaining were outstanding and in good standing. 5. During the current year, the company granted stock options for 10,000 common shares to company executives. The company, using an options pricing model, determined that cach option is worth $15. The exercise or strike price is. $35. The options were to expire at year end and were considered 6. All but 2,500 shares related to the stock option plan were exercised by vear end. The remainder expired because one of the executives failed fo fulfill an obligation related to the employment contract. REQUIRED: A. Prepare all required journal entries for the current year to record each of the transactions noted above. If no entry is required, provide a brief (1-2 sentence) 24 explarution as to why. Ble sure to show all supporting calculationsi (19 marks) (18. Prepure The opening balances in the shareholders' equity section of Goldman investments Ltd. is shown below. Goldman is based in Toronto and follows if reporting purposes. 10 Common shares, 1,320,700 shares authorized, 352,900 shares issued and outstanding fletained eamings 12 During the current year, the following transactions occurred: 1. The company lisued 100,000 rights to the shareholders. Fifteen rights are needed to buy one share at $37 and the rights are void after 30 days. The 15 shares' market price at this time was $32 per share. 2. The company sold the public a $200,000,10% bond issae at par. The company also issued with each $100 bond one detachable stock purchase warrant, 16 warrants at $8, 3. All but 10,000 of the rights issued in item 1 were exercised in 30 days: 4. At the end of the year, 805 of the warrants in item 2 had been exerclsed, and the remaining were outstanding and in good standing. 5. During the current year, the company granted stock options for 10,000 common shares to company executives. The company, using an options pricing model, determined that cach option is worth $15. The exercise or strike price is. $35. The options were to expire at year end and were considered 6. All but 2,500 shares related to the stock option plan were exercised by vear end. The remainder expired because one of the executives failed fo fulfill an obligation related to the employment contract. REQUIRED: A. Prepare all required journal entries for the current year to record each of the transactions noted above. If no entry is required, provide a brief (1-2 sentence) 24 explarution as to why. Ble sure to show all supporting calculationsi (19 marks) (18. Prepure
