On April 7, 2021, Swifty Corporation sold a $5050000, twenty-year, 9 percent bond issue for...
50.1K
Verified Solution
Link Copied!
Question
Accounting
On April 7, 2021, Swifty Corporation sold a $5050000, twenty-year, 9 percent bond issue for $5353000. Each $100 bond has two detachable warrants, each of which permits the purchase of one share of the corporation's common stock for $30. The stock has a par value of $25 per share. Immediately after the sale of the bonds, the corporation's securities had the following market values: 9% bond without warrants $1008 Warrants Common stock What accounts should Swifty credit to record the sale of the bonds? $5050000 Bonds Payable Premium on Bonds Payable 47268 Paid-in Capital-Stock Warrants 215332 $5050000 Bonds Payable Premium on Bonds Payable 303000 $5050000 Bonds Payable $5050000 Bonds Payable Premium on Bonds Payable 47268 Paid-in Capital - Stock Warrants 215332 $5050000 Bonds Payable Premium on Bonds Payable 303000 $5050000 Bonds Payable Premium on Bonds Payable 79110 blicy nn
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
