Use the Following Information for Questions

question 25

Multiple Choice

Use the following information for questions
On May 1, 2016, Marly Co.issued $500,000 of 7% bonds at 103, which are due on April 30, 2026.Twenty detachable stock warrants entitling the holder to purchase for $40 one share of Marly's ordinary shares $15 par value, were attached to each $1,000 bond.The bonds without the warrants would sell at 96.On May 1, 2016, the fair value of Marly's shares was $35 per share and of the warrants was $2.
-On May 1, 2016, Marly should credit Share Premium-Share Warrants for

• A)$20,600
• B)$35,000
• C)$20,000
• D)$15,000

---

Definitions:

Wall Length

The measurement of the distance from one end of a wall to the other, typically used in construction and room layout planning.

Gas-Powered

Refers to engines or machinery that operate using gasoline as a fuel source.

Wooden Exterior Trim

Decorative woodworking pieces used on the exterior of buildings to enhance aesthetic appeal and protect against weather elements.

Quarts Of Paint

A measurement of paint volume, with one quart equaling approximately 0.946 liters, used in purchasing or specifying paint quantities.