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  3. on january 1, the company issued $1.5 million of f

On January 1, the company issued $1.5 million of five-year, 6% convertible bonds at par...

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Accounting

On January 1, the company issued $1.5 million of five-year, 6% convertible bonds at par value. Each $1,000 bond is convertible into 100 common shares. A similar bond (without conversion feature) would have been issued at a market yield of 9%. On December 31, $200,000 worth of bonds were converted to common shares.prepare a report to the board of directors that discusses the recognition, measurement, and presentation of the financial instruments issued.

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