Beverly Corporation issued $500,000 of 8% bonds at 102 on January 1, 2015. The bonds mature on January 1, 2022. Interest is paid on the bonds every June 30 and December 31. Each $1,000 bond carries 20 warrants, and the exchange of two warrants allows the holder to acquire 1 share of $10 par common stock for $50. Soon after the bonds were issued, the bonds were quoted at 98 ex rights, and each individual warrant was quoted at $5. On April 30, 2015, 5,000 rights were exercised. 1. Determine the value to be assigned to the bonds and the warrants. 2. Prepare the journal entry to record the bond issue. You MUST show ALL calculations! 3. Prepare the journal entry on April 30, 2015, to record the issuance of common stock due to the 5,000 warrants being exercised.