makd journal entries for those 2 transactions.

James Company issues 10,000 $1,000 face amount bonds at 104. Each bond can be converted into 25 shares of no-par common stock. Two years after issuance, 25% of the bondholders convert their bonds. The balance in the premium on bonds payable account is $300,000. James should debit: On January 1, 2017, an amount of $281,371 is received. Obviously, you debit the Cash Account with $281,371. Also, a long-term liability equal to the face value of $300,000 is created when the bond is issued. Therefore, you credit the Bonds Payable Account with $300,000