When exercising detachable warrants issued with bonds, the firm removes the Additional Paid-in Capital-Stock Warrants account, debits Cash, credits Common Stock for the par value, and credits the remainder to Additional Paid-in Capital in Excess of Par.

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When detachable warrants are exercised, the firm removes the Additional Paid-in Capital-Stock Warrants account, debits Cash for the amount received, credits Common Stock for the par value, and credits any excess to Additional Paid-in Capital in Excess of Par.

When Exercising Detachable Warrants Issued with Bonds, the Firm Removes