4. (10 points)On January 1,2015, Slug Corporation issued $8 million of 8%. 10-year convertible bonds at 102. The bonds pay interest on June 30 and December 31.Each $1,000 bond is convertible into 40 shares of $1 par common stock. Fuzz Company purchased 20% of the issue as an investment. On July 1, 2019, Fuzz converted all of its bonds into common stock of Slug. The market price per share for Slug was $32 at the time of the conversion.Both companies use the straight-line method for amortization. (Assume the book value method) Required: 1. Prepare journal entries for the issuance of the bonds on the investor books. 2. Prepare the journal entries for the conversion on the books of the investor