Klug Co. has $5,000,000 of 8% convertible bonds outstanding. Each $1,000 bond is convertible into 30 shares of $30 par value common stock. The bonds pay interest on January 31 and July 31. On July 31, 2012, the holders of $1,500,000 bonds exercised the conversion privilege. On that date the market price of the bonds was 105 and the market price of the common stock was $36. The total unamortized bond premium at the date of conversion was $350,000. Klug should record, as a result of this conversion, a…
Freebies just for you
We are available 24/7
We help you complete college assignments in under 24 hours.
Get help with essays, research papers, PowerPoint Presentations, reports, reviews, and projects at incredibly low prices.
We will write a custom paper for you at $15.50 $11/page
Free title page
Free reference page
EssayTab is hands down the best essay writing service for college students. I was initially skeptical about the quality of a product that has such a low price point but I can tell you that it’s worth every penny! I’ve been using EssayTab for my essays in college as well as in grad school, and they always deliver excellent content.