On Dec. 31, 2021, Green Inc. issued of its 8%, 10 year, P1,000 face value bonds with detachable stock warrants for P1,200,000. Each bond carried a detachable warrant for one share of Green's ordinary share at specified option price of P25 per share. Immediately after issuance, the market price of the bonds without the warrants was P1,080,000.

In its Dec. 31, 2020 statement of financial position, what amount should Green report as equity reserve? 

Answer rating: 100% (QA)

To determine the equity reserve that Green Inc should report on its December 31 2021 statement of fi... View the full answer