An entity issues 300,000 convertible bonds at the start of year 2010. The bonds have a three-year term, and are issued at par with a face value of EUR 100 per bond, resulting in total proceeds of EUR 30m, which is also the fair value of the bonds. Interest is payable annually in arrears at a nominal annual interest rate of 6 per cent. Each EUR 100 nominal bond is mandatorily convertible at the end of 2012 into 25 ordinary shares. The entity incurs an issue cost of 1 per cent on the nominal value of the bond amounting to EUR 300,000. 

Assuming that when the bonds are issued, the prevailing market interest rate for similar debt without conversion options is 9 per cent, determine the liability component and the equity compgnent of this bond.