Which of the following statements about the accounting for convertible bonds is true?(Select all that apply.)

Check All That Apply

• Under IFRS, convertible debt is divided into its liability and equity elements.

• Under GAAP, convertible debt is divided into its liability and equity elements.

• Under IFRS, the entry used to record convertible bonds is the same as that currently used under U.S. GAAP.

• If the fair value of the bonds cannot be determined, that value can be calculated as the present value of the bonds' cash flows, using the market rate of interest.