How much should the company record as the value of warrants

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Question - A company issues 1,000 bonds, each with a face value of $1,000, for $1.05 million. Each bond has a non-detachable warrant that allows the holder to purchase common stock for $20 per share. The market value of the bonds without the warrants is $950,000. How much should the company record as the value of the warrants?

Reference no: EM132431208

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