(Solved): On January 1, 2023, Sunland Ltd. issued 920 5-year, 10% convertible bonds at par of $1,000, with int ...

On January 1, 2023, Sunland Ltd. issued 920 5-year,

convertible bonds at par of

, with interest payable each December 31 . Each bond is convertible into 100 common shares, and the current fair value of each common share is

. Similar straight bonds carry an interest rate of

. Click here to view the factor table. Your answer is incorrect. Calculate the PV of the debt component by itself. Calculate using any of the following methods: (1) factor tables, (2) a financial calculator, or (3) Excel function PV. (For calculation purposes, use 5 decimal places as displayed in the factor table provided. Round answers to

decimal places, e.g. 5.275.) PV of the debt component $

Your answer is partially correct. How should Sunland record the issuance if it follows IFRS? Use the amount you arrived at in the above part using a financial calculator or Excel. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimat places, e.8. 5,275. List all debit entries before credit entries.) \table[[Date,Account Titles and Explanation,Debit,Credit],[January

,,,],[,,],[Bonds Payable,,],[Contributed Surplus - Conversion Rights,,]] eTextbook and Media