On march 1 2013 e corp issued 1400000 of 8 nonconvertible


On March 1, 2013, E Corp. issued $1,400,000 of 8% nonconvertible bonds at 103, due on February 28, 2023. Each $1,000 bond was issued with 30 detachable stock warrants, each of which entitled the holder to purchase, for $75, one share of Evan's $25 par common stock. On March 1, 2013, the market price of each warrant was $3. By what amount should the bond issue proceeds increase shareholders' equity?

A. $172,000.

B. $126,000.

C. $0.

D. $42,000.

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Financial Accounting: On march 1 2013 e corp issued 1400000 of 8 nonconvertible
Reference No:- TGS01151506

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