Ivanhoe Limited had$2,760,000 of bonds payable outstanding and the unamortized premium for these bonds a Each$1,000 bond was covnertible into20 preferred shares. All bonds were then cone The contributed surplus - conversion rights account had a balacne of$22,500 Assume the company a) Assumign that the book vlaue method was used, what enetry would be made? Bonds payable$2,800,200 Contributed surplus - conversion rights$22,500 Preferred shares$2,822,700 b) Assume that Invahoe offers$9,000 to induce early conversion. What journal entry would be made? Loss on redemption of bonds$9,000 Bonds payable$2,800,200 Contributed surplus - conversion rights$22,500 Preferred shares$2,822,700 Cash$9,000
amounted to$40,200 erted into preferred shares y follows IFRS
Expert's Answer
Chat with our Experts
Want to contact us directly? No Problem. We are always here for you
Your future, our responsibilty submit your task on time.
Order Now
Get Online
Assignment Help Services
