Bradley$-$Link's December $31,2024,$ balance sheet included the following items:

Long$-$Term Liabilities

$($$ in millions$)$

$8\mathrm{.}0\%$ convertible bonds, callable at $102$ beginning in $2025,$ due $2028$

$($net of unamortized discount of $$6)[$note $8]$

$ $144$

$8\mathrm{.}8\%$ registered bonds callable at $105$ beginning in $2034,$ due $2038$

$($net of unamortized discount of $$1)[$note $8]$

Shareholders' Equity

Equity$-$stock warrants

Note $8$: Bonds $($in part$)$

The $8\mathrm{.}0\%$ bonds were issued in $2011$ at $94\mathrm{.}0$ to yield $10\%.$ Interest is paid semiannually on June $30$ and December $31.$ Each $$1,000$

bond is convertible into $50$ shares of the Company's no par common stock.

The $8\mathrm{.}8\%$ bonds were issued in $2015$ at $103$ to yield $10\%.$ Interest is paid semiannually on June $30$ and December $31.$ Each $$1,000$ bond

was issued with $50$ detachable stock warrants, each of which entitles the holder to purchase one share of the Company's no par

common stock for $$30,$ beginning $2025.$

On January $3,2025,$ when Bradley$-$Link's common stock had a market price of $$37$ per share, Bradley$-$Link called the convertible

bonds to force conversion. Ninety percent were converted; the remainder were acquired at the call price. When the common stock

price reached an all$-$time high of $$42$ in December of $2025,40\%$ of the warrants were exercised.

Required:

Prepare the journal entries that were recorded when each of the two bond issues was originally sold in $2011$ and $2015.$

Prepare the journal entry to record $($book value method$)$ the conversion of $90\%$ of the convertible bonds in January $2025$ and the

retirement of the remainder.

Assume Bradley$-$Link induced conversion by offering $$140$ cash for each bond converted. Prepare the journal entry to record

$($book value method$)$ the conversion of $90\%$ of the convertible bonds in January $2025.$

Assume Bradley$-$Link induced conversion by modifying the conversion ratio to exchange $55$ shares for each bond rather than the

$50$ shares provided in the contract. Prepare the journal entry to record $($book value method$)$ the conversion of $90\%$ of the

convertible bonds in January $2025.$

Prepare the journal entry to record the exercise of the warrants in December $2025.$