Issue costs on covertible debentures

This topic has 1 reply, 2 voices, and was last updated 5 years ago by Stephen Widberg.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
November 19, 2020 at 6:23 pm #595652
manishatai
Member
- Topics: 35
- Replies: 21
Hi, how are issue costs treated in convertible debentures. I have just done a question and the answer has split the issue costs between equity and liability, after finding the liability and equity balances
November 19, 2020 at 6:55 pm #595654
Stephen Widberg
Keymaster
- Topics: 17
- Replies: 3457
That’s correct. Calculate the debt / equity split then pro-rate the issue costs.
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.