Answer and Explanation:
The journal entry is shown below:
Bonds Payable $500,000
Premium on Bonds Payable $7,500
To Preferred Stock ($500,000 ÷ $1,000 × 20 × $50) $500,000
To Paid-in Capital in Excess of Par (Preferred Stock) $7,500
(Being the preferred stock is recorded)
For recording this we debited the bond payable and premium on bond payable as it decreased the liabilities and credited the preferred stock and paid in capital as it increased the stockholder equity
The intrinsic value of this stock is $300.
<h3>What is
intrinsic value?</h3>
An asset's intrinsic value is often a value estimated using simple assumptions. For example, the intrinsic value of an option is based on the underlying instrument's present market value but overlooks the likelihood of future volatility and the time value of money.
For example, if the striking price of a call option is $19 and the market price of the underlying stock is $30, the call option's intrinsic value is $11. There are very few options that are worth less than what the option holder can receive if the option is exercised.
Intrinsic value is a basic, objective value found in an object, asset, or financial contract.
To know more about intrinsic value follow the link:
brainly.com/question/7997404
#SPJ4
Answer:
23,125 shares
Explanation:
The computation of the number of outstanding common stock shares is shown below:
= (Common stock ÷ Par value per share) - (Treasury stock ÷ cost per share)
where,
Common stock is $232,000
Par value per share is $10
Treasury stock is $975
And, the cost per share is $15
Now placing these values to the above formula
So, the number of common stock outstanding shares is
= ($232,000 ÷ $10) - ($975 ÷ $15)
= $23,200 - $65
= 23,135 shares
Yes, to be completely honest. Personal finances could be affected at any moment, but the way that our country progresses with little to nothing of a code or backup plan for those who are in need, I do feel as if I could lose my finances within a blink of an eye.
