Service

Chat Now

On May 1 2014 Marly Co issued $1500000 of 7 bonds at 103which are due on April 30 2024 Twenty detachable stock warrantsentitling the holder to purchase for $40 one share of Marlyscommon

On May 1 2014 Marly Co issued $1500000 of 7 bonds at 103which are due on April 30 2024 Twenty detachable stock warrantsentitling the holder to purchase for $40 one share of Marlyscommon

On May 1, 2014, Marly Co. issued $1,500,000 of 7% bonds at 103,which are due on April 30, 2024. Twenty detachable stock warrantsentitling the holder to purchase for $40 one share of Marly’scommon stock, $15 par value, were attached to each $1,000 bond. Thebonds without the warrants would sell at 96. On May 1, 2014, thefair value of Marly’s common stock was $35 per share and of thewarrants was $2. On May 1, 2014, Marly should credit Paid-inCapital from Stock Warrants for

$57,600

$105,000

$60,000

$61,800

Please provide calculation for the answer and also a detailexplanation

 
mahesh 24-Mar-2020

Answer (UnSolved)

question Get solution