le bonds from chapter 14) - H... Saved Help Exercise 14-24 (Algo) Convertible bonds; straight-line interest [LO14-5) On January 1, 2021. Gless Textiles issued $29 million of 8%, 20-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 method. 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). Complete this question by entering your answers in the tabs below. 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 bands it held. Prepare the journal entries by both Gless and Century for the conversion of the bonds (book value 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) View transaction lit Journal entry worksheet Proy 1 of 15 Next > 24 GA Required 1 Required 2 Required 3 Prepare the journal entries for the issuance of the bonds by Gless and the purchas required for a transaction/event, select "No journal entry required" in the first accc View transaction list View journal entry worksheet X: 1 Record the issuance of the bonds by Gless. 2 Record the purchase of the bond investment by Century. Required 2 26:20 Required 1 Required 2 Required 3 ok Prepare the journal entries for the June 30, 2025, interest payment by both method. (If no entry is required for a transaction/event, select "No journal en in whole dollars.) nt es View transaction list View journal entry worksheet ant :X ences 1 Record the interest payment by Gless. 2 Record the receipt of interest by Century. Requ 6:16 Required 1 Required 2 Required 3 On July 1, 2026, when Gless's common stock had a market price of $33 per journal entries by both Gless and Century for the conversion of the bonds (E transaction/event, select "No journal entry required" in the first account field View transactio trist View journal entry worksheet X: nces 1 Record the entry for Gless regarding the conversion of the bonds. Rest 2 Record the entry for Century regarding the conversion of the bonds
