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Your answer is partially correct. On September 1, 2020, Wildhorse Company sold at 104 (plus accrued interest) 5,040 of its 10%, 10-year, $1,000 face
Your answer is partially correct. On September 1, 2020, Wildhorse Company sold at 104 (plus accrued interest) 5,040 of its 10%, 10-year, $1,000 face value. nonconvertible 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 $17 per share. Shortly after issuance, the warrants were quoted on the market for $3 each. No fair value can be determined for the Wildhorse Company bonds, Interest is payable on December 1 and June 1. Prepare in general journal format the entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Cashi Bonds Payable Premium on Bonds Payable Paid in Capital-Stock Warrants Debit 5256720 Credit 5040000
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