Vaughn Manufacturing has $3890000 of 7% convertible bonds outstanding. Each $1,000 bond is convertible into 30...
Vaughn Manufacturing has $3890000 of 7% convertible bonds outstanding. Each $1,000 bond is convertible into 30 shares of $30 par value common stock. The bonds pay interest on January 31 and July 31. On July 31, 2021, the holders of $1280000 bonds exercised the conversion privilege. On that date the market price of the bonds was 105 and the market price of the common stock was $37. The total unamortized bond premium at the date of conversion was $288000. Vaughn should record, as a result of this conversion, a credit of $197440 to Paid-in Capital in Excess of Par. loss of $12800. credit of $92160 to Premium on Bonds Payable. credit of $223040 to Paid-in Capital in Excess of Par.
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Vaughn Manufacturing has $3890000 of 7% convertible bonds
outstanding. Each $1,000 bond is convertible into 30...
Carla Vista Inc. has $2 million of 7% convertible bonds outstanding. Each $1,000 bond is convertible...
Carla Vista Inc. has $2 million of 7% convertible bonds outstanding. Each $1,000 bond is convertible into 20 no par value common shares. The bonds pay interest on January 31 and July 31. On July 31, 2020, the holders of $640,000 of these bonds exercised the conversion privilege. On that date, the market price of the bonds was 112, the market price of the common shares was $59, the carrying value of the common shares was $30, and the Contributed...
Dadayeva Inc. has $5 million of 6% convertible bonds outstanding. Each $1,000 bond is convertible into...
Dadayeva Inc. has $5 million of 6% convertible bonds outstanding. Each $1,000 bond is convertible into 50 no par value common shares. The bonds pay interest on January 31 and July 31. On July 31, 2020, the holders of $1,250,000 of these bonds exercised the conversion privilege. On that date, the market price of the bonds was 110, the market price of the common shares was $40, the carrying value of the common shares was $20, and the Contributed Surplus—Conversion...
Stonewall Corporation issued $40,000 of 5%, 10-year convertible bonds. Each $1,000 bond is convertible to 10...
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Why couldn't This Be Easy, Inc. has two issues of securities outstanding: common stock and $4,900,000...
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On June 30, 2021, Blair Industries had outstanding $106 million of 9% convertible bonds that mature...
On June 30, 2021, Blair Industries had outstanding $106 million of 9% convertible bonds that mature on June 30, 2022. Interest is payable each year on June 30 and December 31. The bonds are convertible into 9 million shares of $10 par common stock. At June 30, 2021, the unamortized balance in the discount on bonds payable account was $4 million. On June 30, 2021, half the bonds were converted when Blair's common stock had a market price of $43...
On June 30, 2021, Blair Industries had outstanding $82 million of 8% convertible bonds that mature...
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Question 3 Western World Inc. issues $30,000,000 of convertible bonds with each $1,000 bond convertible into...
Question 3 Western World Inc. issues $30,000,000 of convertible bonds with each $1,000 bond convertible into 15 shares of the company’s $1 par common stock. The bonds are issued at 103 on January 1, 2020 and pay interest in Jan and July and mature on January 1, 2025. On July 1, 2021, 40% of the bonds are converted when the stock price is $80 per share and 30% of the bond premium has been amortized. Record the following transactions: Bond...
Western World Inc. issues $40,000,000 of convertible bonds with each $1,000 bond convertible into 15 shares...
Western World Inc. issues $40,000,000 of convertible bonds with each $1,000 bond convertible into 15 shares of the company’s $1 par common stock. The bonds are issued at 103 on January 1, 2020 and pay interest in Jan and July and mature on January 1, 2025. On July 1, 2021, 25% of the bonds are converted when the stock price is $80 per share and 30% of the bond premium has been amortized. Record the following transactions: Bond as issuance Conversion of $40,000,000...
Western World Inc. issues $50,000,000 of convertible bonds with each $1,000 bond convertible into 15 shares...
Western World Inc. issues $50,000,000 of convertible bonds with each $1,000 bond convertible into 15 shares of the company’s $1 par common stock. The bonds are issued at 102 on January 1, 2019 and pay interest in Jan and July and mature on January 1, 2024. On July 1, 2020, 50% of the bonds are converted when the stock price is $80 per share and 30% of the bond premium has been amortized. Record the following transactions: Bond as issuance...
Stonewall Corporation issued $40,000 of 5%, 10-year convertible bonds. Each $1,000 bond is convertible to 10 shares of common stock (par $50) of Stonewall Corporation. The bonds were sold at 105 on January 1, 2020. Required a. Provide the entry for Stonewall Corporation on January 1, 2020, for the bond issuance. b. Provide entries for Stonewall Corporation assuming that the conversion privilege is subsequently exercised immediately after the end of the third year. Assume that at the date of conversion,...
Why couldn't This Be Easy, Inc. has two issues of securities outstanding: common stock and $5,500,000 face value, 5-year, 3%, convertible bonds. The bonds were issued January 19, 2020, for $5,252,979 when the market rate was 4%. Bond interest payment dates are June 30th and December 31st. Each bond is convertible into 40 shares of $20 par value common stock. On July 1, 2020, the holders of $1,375,000 face value bonds exercised the conversion privilege. On that date, the bonds...
Why couldn't This Be Easy, Inc. has two issues of securities outstanding: common stock and $4,900,000 face value, 5-year, 3%, convertible bonds. The bonds were issued January 1, 2020, for $4.679.926 when the market rate was 4%. Bond interest payment dates are June 30" and December 315. Each bond is convertible into 40 shares of $20 par value common stock. On July 1, 2020, the holders of $1,470,000 face value bonds exercised the conversion privilege. On that date, the bonds...
On June 30, 2021, Blair Industries had outstanding $106 million of 9% convertible bonds that mature on June 30, 2022. Interest is payable each year on June 30 and December 31. The bonds are convertible into 9 million shares of $10 par common stock. At June 30, 2021, the unamortized balance in the discount on bonds payable account was $4 million. On June 30, 2021, half the bonds were converted when Blair's common stock had a market price of $43...
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