(B) (2 marka) Net cash how from operating activities for 2018 for Shady Corporation was $300,000. The following items are reported on the financial statements for 2018s Cash dividends paid oe ondinary shares 20,000 12,000 24,000 Depreciation and amortization Increase in accounts receivables Based on the information above, Shady's net income for 2018 was (B) (4 marka) Omar Corporation issues 3,000 convertible bonds at January 1, 2018. The bonds have a three-year life and are issued at par with a face value of 1,000 per bond. Interest is payable annually at 6 percent. Each bond is coevertible into 250 ordinary shares (par value of 1),. When the bonds are issued, the market rate of interest for similar debt without the conversion option is 8% (a) Compute the liability and equity component of the comvertible bond on January 1, 2018. Prepare the ou ry 1, 2015. Prepare the jounal entry to record the conversion on January 1, 2021 (d) being converted. The net present value of the liability component of the convertible bonds on January 1,2021, is 2,850,000. Prepare the journal entry to record the repurchase on January 1 2021. (c) Assume that the bonds were repurchased on January 1, 2021, for 2,910,000 cash instead of Solution