On January 2, 2021, L Co. issued at face value $21,000 of 2% bonds convertible in total into 1,200 shares of L's common stock. No bonds were converted during 2021. Throughout 2021, L had 1,200 shares of common stock outstanding.
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On February 1, 2021, Strauss-Lombardi issued 8% bonds, dated February 1, with a face amount of $810,000. The bonds sold for $735,474 and mature on January 31, 2041 (20 years). The market yield for bonds of similar risk and maturity was 9%.
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