Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion Return On January 1, 2021. Gless Textiles issued $12 million of 9%, 10-year convertible bonds at 101. The bonds pay interest on June 30 and December 31. Each $1,000 bond is convertible into 40 shares of Gless's no par common stock, Bonds that are similar in all respects except that they are nonconvertible, currently are selling at 99 (that is, 99% of face amount). Century Services purchased 10% of the issue as an investment Required: 1. Prepare the journal entries for the issuance of the bonds by Gless and the purchase of the bond investment by Century 2. Prepare the journal entries for the June 30, 2025, interest payment by both Gless and Century assuming both use the straight-line 3. On July 1, 2026, when Gless's common stock had a market price of 533 per share. Century converted the bonds it held. Prepare the Journal entries by both Gless and Century for the conversion of the bonds (book value method) method Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the journal entries for the June 30, 2025, Interest payment by both Gless and Century assuming both use the straight-line method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.) No Date General Journal Credit 1 June 30, 2025 Interest expense Premium on bonds payable Cash Debit 420,000 120,000 540,000 June 30, 2025 54,000 Cash Interest revenue Premium on Investment in bonds 53.7003 300 Required 1 Required 2 Required 3 On July 1, 2026, when Gless's common stock had a market price of $33 per share, Century converted the bonds it held. Prepare the journal entries by both Gless and Century for the conversion of the bonds (book value method). (If no entry in required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.) Show less No Date Credit 1 July 01, 2026 General Journal Convertible bonds payable Premium on bonds payable Common stock SIS Debit 1,200,000 8,700 X 1,208,700 2 1.208,700 X July 01, 2026 Investment in common stock Investment in convertible bonds Premium on investment in bonds 1,200,000 8,700