Blossom Corporation had two issues of securities outstanding: $20 par value common stock and an...
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Blossom Corporation had two issues of securities outstanding: $ par value common stock and an convertible bond issue in the face amount of $ Interest payment dates of the bond issue are June th and December st The conversion clause in the bond indenture entitles the bondholders to receive forty shares of common stock in exchange for each $ bond. On June the holders of $ face value bonds exercised the conversion privilege. The market price of the bonds on that date was $ per bond and the market price of the common stock was $ The total unamortized bond discount at the date of conversion was $ In applying the book value method, what amount will Blossom credit to Paidin Capital in Excess of Par as a result of this transaction?
Blossom Corporation had two issues of securities outstanding: $ par value common stock and an convertible bond issue in the face amount of $ Interest payment dates of the bond issue are June th and December st The conversion clause in the bond indenture entitles the bondholders to receive forty shares of common stock in exchange for each $ bond. On June the holders of $ face value bonds exercised the conversion privilege. The market price of the bonds on that date was $ per bond and the market price of the common stock was $ The total unamortized bond discount at the date of conversion was $ In applying the book value method, what amount will Blossom credit to Paidin Capital in Excess of Par as a result of this transaction?
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