Bradley-Link's December 31, 2018, balance sheet included the following items ( in Long-Term Liabilities 9.0% convertible bonds, callable at 103 beginning in 2019, millions) $148 due 2022 (net of unamortized discount of $2) note 8) 11.0% registered bonds callable at 106 beginning in 2028, 69 due 2032 (net of unamortized discount of $1) [note 8] Shareholders' Equity Equity-stock warrants Note 8: Bonds (in part) The 9.0% bonds were issued in 2005 at 98.0 to yield 10%. Interest is paid semiannually on June 30 and December 31, Each $1,000 bond is convertible into 40 shares of the Company's no par common stock. The 11.0% bonds were issued in 2009 at 104 to yield 10%. Interest is paid semiannually on June 30 and December 31. Each $1,000 bond was issued with 40 detachable stock warrants, each of which entitles the holder to purchase one share of the Company's no par common stock for $20, beginning 2019 On January 3, 2019, when Bradley-Link's common stock had a market price of $27 per share, Bradley-Link called the convertible bonds to force conversion. 90% were converted; the remainder were acquired at the call price, when the common stock price reached an all-time high of $32 in December of 2019, 40% of the warrants were exercised. Required 1. Prepare the journal entries that were recorded when each of the two bond issues was originally sold in 2005 and 2009 2, Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2019 and the retirement of the remainder 3. Assume Bradley-Link induced conversion by offering $150 cash for each bond converted. Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2019 4. Assume Bradley-Link induced conversion by modifying the conversion ratio to exchange 45 shares for each bond rather than the 40 shares provided in the contract. Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2019 5. Prepare the journal entry to record the exercise of the warrants in December 2019 Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below Required 1 Required 2 Required 3 Required 4 Required 5 Prepare the journal entries that were recorded when each of the two bond issues was originally sold in 2005 and 2009. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 10,000,000 should be entered as 10)) Event General Journal Debit Credit Cash 147 Discount on bonds payable Convertible bonds payable 150 72.8 2.2 Cash Discount on bonds payable Bonds payable Equity-stock warrants 70 S Required1 Required 2> Complete this question by entering your answers in the tabs below Required 1Required 2 Required 3 Required 4 Required 5 Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2019 and the retirement of the remainder. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)) Event General Journal Debit Credit Convertible bonds payable 135.0 Discount on bonds payable Common stock 133.2 15.0 Convertible bonds payable Loss on early extinguishment 0.7 0.2 15.5 Discount on bonds payable Cash K Required 1 Required 3> Complete this question by entering your answers in the tabs below Required 1 Required 2 Required 3Required 4 Required 5 Assume Bradley-Link induced conversion by offering $150 cash for each bond converted. Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2019. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)) Show lessA Event General Journal Debit Credit Convertible bonds payable Conversion expense 135.0 20.3 Discount on bonds payable Common stock Cash 133.2 20.3 K Required 2 Required 4 Complete this question by entering your answers in the tabs below Required 1 Required 2 Required 3Required 4Required 5 Assume Bradley-Link induced conversion by modifying the conversion ratio to exchange 45 shares for each bond rather than the 40 shares provided in the contract. Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2019. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)) Show lessA Debit 135.0 21.6 Event General Journal Credit Convertible bonds payable Conversion expense Discount on bonds payable Common stock 154.8 Required 3 Required 5 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Prepare the journal entry to record the exercise of the warrants in December 2019. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)) No Event General Journal Debit Credit Cash 41.4 Equity-stock warrants 2.0 Common stock 43.8