When convertible bonds are submitted for conversion, all of the following must be updated except:
A)Cash
B)Bond premium or discount
C)Foreign exchange gains and losses on foreign currency denominated debt
D)Accrued interest

Question

Quizplus · Accepted Answer

When convertible bonds are converted, the cash account is not affected because no cash transaction occurs; instead, the bonds are exchanged for equity.

When Convertible Bonds Are Submitted for Conversion, All of the Following