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Amortized discount on the bonds

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On July 1, 2010, an interest payment date, $60,000 of REE Co. bonds were converted into 1,200 shares of REE Co. common stock each having a par value of $45 and a market value of $54. There is $2,400 an amortized discount on the bonds. Using the book value method, REE would record.

Reference no: EM131093721

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