Reference no: EM132881046
On January 1, 2016, Case Company issued P5,000,000 of 12% nonconvertible bonds at 103 which are due on February 28, 2021. In addition, each P1,000 bond was issued with 30 detachable share warrants, each of which entitled the bond -holder to purchase, for P 50, one ordinary share of Case Company, par value P25. On January 1, 2016, the quoted market value of each warrant was P4. The market value of the bonds ex-warrants at the time of issuance is 95.
Problem 1: What is the carrying amount of the bonds payable on January 1, 2016?
a. 5,000,000
b. 4,750,000
c. 5,150,000
d. 4,550,000
Problem 2: What amount of the proceeds from the bond issue should be recognized as an increase in shareholders' equity?
a. 600,000
b. 300,000
c. 200,000
d. 400,000
|
What the amount reported in sandhill income statement
: What the amount reported in Sandhill's 2018 income statement from this investment should be? Sandhill Company purchased to hold to maturity
|
|
Describe the structured interview
: Describe the structured interview. What are the characteristics of structured interviews that improve on the shortcomings of unstructured interviews?
|
|
What is the increase in share premium as a result of bond
: What is the increase in share premium as a result of the bond conversion? What is the increase in share capital as a result of the bond conversion?
|
|
What is the increase in shareholders equity arising
: Moriones Company issued P5,000,000, What is the increase in shareholders' equity arising from the issuance of the convertible bonds on January 1, 2016?
|
|
What amount of the proceeds from the bond issue should be
: Case Company issued P5,000,000 of 12%, What amount of the proceeds from the bond issue should be recognized as an increase in shareholders' equity?
|
|
What is the carrying amount of the bonds payable on december
: On December 31, 2016, what amount should be recorded as discount or premium on bonds payable? What is the carrying amount of the bonds payable on December
|
|
Expected basic salary for a job in norge electronic
: What is the expected basic salary for a job in Norge Electronic that has a job grade midpoint of 600?
|
|
Review the association for talent development
: Discuss at least two of the areas of expertise listed in the ATD Competency Model. Provide examples of how you have observed or experienced successful demo
|
|
What is the carrying mount of bonds payable at year-end
: What is the carrying mount of bonds payable at year-end? At year-end, Fort Company issued 5,000 of 8%, 10-year, P1,000 face value bonds
|