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Based on the relative market values of the two securities involved

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Q: A corporation issues bonds with detachable warrants The amount to be recorded as paid-in capital is preferably?
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Can you overwrite or edit or alter the details in a check?

Preferably NO. It is advisable not to rewrite/overwrite any contents in the cheque. But if situation warrants, we must counter-sign near the altered area to confirm that it was a legitimate change done by the cheque issuer. Any unsigned modifications in the cheque would make the cheque unusable and the bank will not release any payments.


Is diluted earning per share is calculated in case of losses?

Diluted earning per share is only calculated when company has issued some conditional warrants or rights to purchase share to it's employees or other persons.


What are the rights and duties of an auditor?

An auditor's job is to verify that the process is being used as documented and that the results of the business activities meet the requirements (agency certification). In order to accomplish the task, they have the right (and duty) to follow any audit trail to verify that the business is operating per the (ethical, moral, and viable) requirements and warrants the certification that they represent.


What is near equity?

Near-equity investments consist of debt that is convertible to equity and debt with warrants, royalties or participation payments. Near-equity can be structured to act like equity, with deferred payments that give young firms the patient capital they need in their early years. http://www.frbsf.org/publications/community/review/122006/rubin.pdf


Why is trade credit generally the largest source of short term credit for small firms?

Well, trade credit would be credit extended by suppliers (I guess). So, if in fact it is the largest source of short term credit, it would be because it is easier to get credit from people that want to sell you something than from someone that lends money (the potential profit warrants the risk).

Related questions

What is the difference between detachable and non detachable warrant?

The detachable warrants can be sold separately from the security. At the issue date, the conversion feature that is separate from security is accounted for separately with a value assigned to it ( APIC warrants). On exccercise date, warrant is excercised for cash and apic, no security is affected in the journal entry on exercise. Non detachable warrants must be sold with the security as a complete package. At the issue date all proceeds are allocated to bonds or securities. At exercise date, warrant is exercised against the security ( bond and premium) in proportion of the exercise quantity given. Example of non detachable warrant is convertible bonds.


What is secured premium notes?

Secured Premium Notes are nothing but a share warrant which are only issued by the listed companies after having approval from The Central Government. SPN comes with a detachable warrants which has lock in period of 4 to 7 years. No interest will be paid within lock in period to SPN holders. SPN holders will get Principal Amount along with interest on installment basis after lock in period of said period. Detachable warrants can be converted into Equity Shares as per notification & time limit by the Company. With Regards, Sameep Shah ICAI, Mumbai.


Advantages of public corporation?

Numerous including: 1. Ownership of the corporation evidenced by the share certificate, 2. Capitalization, i.e., issuing stock for capital, 3. Employee incentives, 4. Acquisition of other companies using equity, 5. Bonuses, 6. Stock warrants and options.


What are the Advantages of public corporation?

Numerous including: 1. Ownership of the corporation evidenced by the share certificate, 2. Capitalization, i.e., issuing stock for capital, 3. Employee incentives, 4. Acquisition of other companies using equity, 5. Bonuses, 6. Stock warrants and options.


What is symbol for Ford warrants?

what is the ticker symbol for ford warrants


What are representations and warrants on securities?

This question does not pertain to arrest or search warrants.


What amendment falls in Warrants?

Warrants are generally covered under the Fourth Amendment.


Can social services check for warrants?

Yes social security checks for warrants.


Are warrants a matter of public record?

Yes, criminal warrants are a matter of public record.


Do DUI warrants expire in Pennsylvania?

No. Arrest warrants are valid until served or recalled.


What is the statute of limitations on minor in possession warrants?

In most states warrants never expire.


Is there a statute of limitations on bench warrants in Oregon?

In the state of Oregon, there is no statute of limitations on bench warrants. Bench warrants remain valid until the person it is issued for is arrested.