Occasionally corporations offer additional consideration to help induce the conversion of bonds into stock. This...
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Accounting
Occasionally corporations offer additional consideration to help induce the conversion of bonds into stock. This additional consideration is known as sweetener. In the entry to record bond conversion, sweetener should be recorded as
Select one:
A reduction in paid in capital
An amortizable asset
An expense in the current period
An addition to paid in capital
A reduction in the amount of unamortized premium or discount written off
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