Question
When bonds are converted into common stock, the market price of the stock on the date of conversion is credited to the Common Stock account.
When bonds are converted into common stock,
| the market price of the stock on the date of conversion is credited to the Common Stock account. | ||
| the market price of the bonds on the date of conversion is credited to the Common Stock account. | ||
| the market price of the stock and the bonds is ignored when recording the conversion. | ||
| gains or losses on the conversion are recognized. |
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The Training And Development Audit
Authors: Rosemary Harrison
2nd Edition
0955970725, 978-0955970726
