Examine the long-term borrowings in BA's balance sheet and the related note. What, if any, convertible securities does the company have outstanding? Suppose BA issued £ 300 million fixed rate 8.75 per cent Eurobonds, due 2031, at 101 in 2011 and that the bonds are convertible into shares of BA ordinary shares. Suppose, too, that the company simultaneously issued at 99, bonds similar in all respects except they are not convertible. Prepare the journal entry BA would use to record the issue of the convertible bonds. Prepare the journal entry BA would use to record the issue of the convertible bonds if BA used U.S. GAAP.