Bradley-Link's December 31, 2018, balance sheet included the following items: ($ in millions) $196 Long-Term Liabilities 9.0% convertible bonds, callable at 103 beginning in 2019, due 2022 (net of unamortized discount of $4) (note 8] 11.0% registered bonds callable at 106 beginning in 2028, due 2832 (net of unamortized discount of $2) (note 8] Shareholders' Equity Equity-stock warrants points eBook Print Note 8: Bonds (in part) The 9.0% bonds were issued in 2005 at 97.5 to yield 10%. Interest is paid semiannually on June 30 and December 31. Each $1,000 bond is convertible into 30 shares of the Company's no par common stock. References 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 30 detachable stock warrants, each of which entities the holder to purchase one share of the Company's no par common stock for $25, beginning 2019 On January 3, 2019, when Bradley-Link's common stock had a market price of $32 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 $37 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. Note 8: Bonds (in part) The 9.0% bonds were issued in 2005 at 97.5 to yield 10%. Interest is paid semiannually on June 30 and December 31. Each $1,000 bond is convertible into 30 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 30 detachable stock warrants, each of which entitles the holder to purchase one share of the Company's no par common stock for $25, beginning 2019. points On January 3, 2019, when Bradley-Link's common stock had a market price of $32 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 $37 in December of 2019, 40% of the warrants were exercised. eBook Print References 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 $160 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 35 shares for each bond rather than the 30 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, Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 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 required for a transaction/event, select "No journal entry required in the first account field. Enter your answers in million: decimal places (i.e., 10,200,000 should be entered as 10.2)). View transaction list points Journal entry worksheet eBook Print References Record the bond issue that was originally sold in 2005. Note: Enter debits before credits. Event General Journal Debit Credit Record entry Clear entry View general journal Required 1 Required 2 Required 3 Required 4 Required 5 3 Prepare the journal entry to record (book value method) the conversion of 90% of the convertible bonds in January 2019 retirement of the remainder. (If no entry is required for a transaction/event, select "No journal entry required in the first a Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)). View transaction lis! points Journal entry worksheet eBook Print References Record the conversion of 90% of the convertible bonds. Note: Enter debits before credits. Event General Journal Debit Credit Ch 14 Problems a Saved Help Save & Exit Submit Required 1 Required 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 retirement of the remainder. (If no entry is required for a transaction/event, select "No journal entry required in the first a Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)). View transaction list points Journal entry worksheet eBook 1 (2 Print References Record the retirement of the remainder bonds. Note: Enter debits before credits Event General Journal Debit Credit Record entry Clear entry View general journal Required 1 Required 2 Required 3 Required 4 Required 5 3 Assume Bradley-Link induced conversion by offering $160 cash for each bond converted. Prepare the journal entry to reco method) the conversion of 90% of the convertible bonds in January 2019. (If no entry is required for a transaction/event, journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 entered as 5.5)). points View transaction list eBook Journal entry worksheet References Record the conversion of 90% of the convertible bonds. Note: Enter debits before credits Event General Journal Debit Credit Required 1 Required 2 Required 3 Required 4 Required 5 3 Assume Bradley-Link induced conversion by modifying the conversion ratio to exchange 35 shares for each bond rather th shares provided in the contract. Prepare the journal entry to record (book value method) the conversion of 90% of the cor in January 2019. (If no entry is required for a transaction/event, select "No journal entry required" in the first account fiel answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)). points View transaction list eBook Print Journal entry worksheet References 1 Record the conversion of 90% of the convertible bonds. Note: Enter debits before credits Event General Journal Debit Credit 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 transactic "No journal entry required in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500 entered as 5.5)). points View transaction list Journal entry worksheet eBook References Record the exercise of the warrants. Note: Enter debits before credits Event General Journal Debit Credit