Earlier this year, Sunflower Ltd. issued 200 of its 9%, $ 1,000 bonds at 101. Attached to each bond was one detachable warrant entitling the holder to purchase ten of Sunflower\\\'s common shares. At this time, the market value of the bonds, without the warrants, was 95, and the market value of each warrant was $ 50. Assuming the company follows IFRS, prepare the journal entry to record the issue of the bonds with the warrants.

Answer rating: 100% (QA)

Under IFRS 9Financial Instruments debt instrument issued with a stock option is called Compound ... View the full answer