1. On August 1, 2020, Alpha Corporation called its 10% convertible bonds for conversion. The $ 4,000,000 par value bonds were converted into 160,000 no par common shares. On August 1, there was $ 350,000 of unamortized premium applicable to the bonds . At the time of issuance, Contributed SurplusConversion Rights was credited for $ 150,000, which represented the equity portion of the convertible bonds, , and the market value of the common shares was $ 20 per share. The company records the conversion using the book value method. Ignore all interest payments.