OI March 1, 2021, Remy Corporation issued $1,000,000 of 8% nonconvertible bonds at 104, which are due on February 28, 2041. In addition, each $1,000 bond was issued with 25 detachable stock warrants, each of which entitled the bondholder to purchase for $50 one share of Remy common stock, par value $25. The bonds without the warrants would normally sell at 95. On March 1, 2021, the fair value of Remy's common stock was $40 per share and the fair value of the warrants was $2.00. What amount should Remy record on March 1, 2021 as paid-in capital from stock warrants? $73,600 $85,200 O $52,000 $104,000

OI March 1, 2021, Remy Corporation issued $1,000,000 of 8% nonconvertible bonds at 104, which are due on February 28, 2041. In addition, each $1,000 bond was issued with 25 detachable stock warrants, each of which entitled the bondholder to purchase for $50 one share of Remy common stock, par value $25. The bonds without the warrants would normally sell at 95. On March 1, 2021, the fair value of Remy's common stock was $40 per share and the fair value of the warrants was $2.00. What amount should Remy record on March 1, 2021 as paid-in capital from stock warrants? $73,600 $85,200 O $52,000 $104,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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