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TUV Corporation has total assets of $25,000,000 and a debt to equity ratio of 1.5 . Management for the company is contemplating calling back long
TUV Corporation has total assets of $25,000,000 and a debt to equity ratio of 1.5 . Management for the company is contemplating calling back long term bonds that were issued five years ago. Information regarding the bonds is as follows: Face Value -- $5,000,000 Unamortized Bond Discount Remaining -- $100,000 Call Price -102 a) Present the journal entry that would be recorded if the bonds were called. b) If the bonds are called, what would be TUV's new debt to equity ratio
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