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Business, 13.03.2020 18:18 skatingby8910

On July 1, 20X5, Cove Corp., a closely-held corporation, issued 6% bonds with a maturity value of $60,000, together with 1,000 shares of its $5 par value common stock, for a combined cash amount of $110,000. The market value of Cove's stock cannot be ascertained. If the bonds were issued separately, they would have sold for $40,000 on an 8% yield to maturity basis. What amount should Cove report for additional paid-in capital on the issuance of the stock?

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On July 1, 20X5, Cove Corp., a closely-held corporation, issued 6% bonds with a maturity value of $6...

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