Ch16 solutions 1-5-8

Ch16 solutions 1-5-8 - SOLUTIONS TO EXERCISES EXERCISE 16-1...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
SOLUTIONS TO EXERCISES EXERCISE 16-1 (15–20 minutes) 1. Cash ($20,000,000 X .99). ............................... 19,800,000 Discount on Bonds Payable. ......................... 200,000 Bonds Payable. ........................................ 20,000,000 Unamortized Bond Issue Costs. .................... 70,000 Cash. ......................................................... 70,000 2. Cash. ................................................................ 19,600,000 Discount on Bonds Payable. ......................... 1,200,000 Bonds Payable. ........................................ 20,000,000 Paid-in Capital—Stock Warrants. ........... 800,000 Value of bonds plus warrants ($20,000,000 X .98) $19,600,000 Value of warrants (200,000 X $4) 800,000 Value of bonds $18,800,000 3. Debt Conversion Expense. ............................ 75,000 Bonds Payable. ............................................... 10,000,000 Discount on Bonds Payable. .................. 55,000 Common Stock. ........................................ 1,000,000
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 09/20/2011 for the course ACC 319 taught by Professor Jones during the Fall '10 term at UNC Greensboro.

Page1 / 4

Ch16 solutions 1-5-8 - SOLUTIONS TO EXERCISES EXERCISE 16-1...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online