4) An 8% $30 million convertible loan note was issued on 1 April 20X5 at par. Interest is payable in arrears on 31 March each year. The loan note is redeemable at par on 31 March 20X8 or convertible into equity shares at the option of the loan note holders on the basis of 30 shares for each $100 of loan. A similar instrument without the conversion option would have an interest rate of 10% per annum. The present values of $1 receivable at the end of each year based on discount rates of 8% and 10% are: 8% 10% End of year 1 0.93 0.91 0.86 0.83 3 0.79 0.75 What amount will be credited to equity on 1 April 20X5 in respect of this financial instrument