Berteand issued $$10$ millon corvertible loan notes on i October $2018$ that carry a nochinal

intarent $($coupon$)$ rate of $5$$ per annuin. They are redenmable on $30$ September $2021$ at par for

cash or can be exchanged for equity shores in Bertrand on the basis of $20$ shares for each $5100$

of toan. A similar loan nole, whout the comvenion option, would have required Bertrand is pay

an interest ralo of $83.$

The prusent value of $$1$ tecolvabla at the end of each year, basod on ditcount rates of $6\%$ and

$8\%,$ can be taken as:

Plisas, provide all joumal entries necessary to account for thin trantaction at inception and as

of $30$ September $2019.$