Record the issuance of the bonds

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Reference no: EM131881706

Question: 1. On Jan 1, 2015. LO Manufacturers issued $100.000 of 6% convertible debendtures that mature in 10 years and which pay interest annually. The bonds were issued at 103.7. The conversion feature allows the holder to convert each $1000 bond into 10 shares of $1 par value common stock begining in 2017. LO Manufacuterers recently issued nonconvertible, 10 years 6% debendtures at 92.9

Required: - Record the issuance of the bonds following US GAAP and the first interest payment.

- Record the issuance of the bonds following IFRS and the first interest payment.

Reference no: EM131881706

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