Hoffman Corporation issued $60 million of 5%, 20-year bonds at 102. Each of the 60,000 bonds was issued with 10 detachable stock warrants, each of which entitled the bondholder to purchase, for $20, one share of $1 par common stock. At the time of sale, the market value of the common stock was $25 per share and the market value of each warrant was $5. Prepare the journal entry to record the issuance of the bonds.

Date   Account titles and Explanation             Debit             Credit

           Cash (60,000*102%)                            $61,200,000

           Discount on bonds payable                $1,800,000

            (63,000,000-61,200,000)

                   Bond payable (Face value)                                  $60,000,000

                   Equity stock warrants outstanding                      $3,000,000

                   (60,000 bonds * 10 warrants * $5)

               (To record the issue of shares and the share warrants)

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.

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