Question: Please help with the journal entries :) On August 1, 2024, Perez Communications issued $40 million of 8% nonconvertible bonds at 102 . - The

Please help with the journal entries :)

Communications issued $40 million of 8% nonconvertible bonds at 102 . -

The bonds are due on July 31,2044 - The bonds are due

on July 31,2044 . one share of Perez Communications' no par common

stock. - Interstate Containers purchased 20% of the bond issue. - On

On August 1, 2024, Perez Communications issued $40 million of 8% nonconvertible bonds at 102 . - The bonds are due on July 31,2044 - The bonds are due on July 31,2044 . one share of Perez Communications' no par common stock. - Interstate Containers purchased 20% of the bond issue. - On August 1, 2024, the market value of the common stock was $58 per share and the market value of each warrant was $8. In February 2035, when Perez common stock had a market price of $71 per share and the unamortized discount balance was $1 million, Interstate Containers exercised the warrants it held. Required: 1. Prepare the journal entries on August 1, 2024, to record (a) the issuance of the bonds by Perez and (b) the investment by Interstate. 2. Prepare the journal entries for both Perez and interstate in February 2035 , to record the exercise of the warrants: Journal entry worksheet Note: Enter debits before credits. Record the investment by Interstate. Note: Enter debits before credits. Journal entry worksheet Record the exercise of the warrants for Perez. Note: Enter debits before credits. Journal entry worksheet Record the exercise of the warrants for Interstate. Note: Enter debits before credits

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