Maple Corp. issued

$100,000

of

8%,10

-year convertible bonds. Each

$1,000

bond is convertible into 2 sh common stock (

$1

par value per share) of Maple Corp. The bonds were sold at 97 on January 1, 2020.\ Assume that the conversion feature for

75%

of the bonds is exercised on Decernber 31, 2020, after Maple payments of

$10,000

to shareholders to induce conversion. Assume that any discount or premium has bee through the date of conversion using the straight-line interest method. The common stock is selling at

$80

on December 31, 2020.\ Please prepare journal entries for the following transactions:\ The issuance of the convertible bonds on January 1,2020,\ The conversion of

75%

of the bonds to common stock on December 31, 2020.

Maple Corp. issued $100,000 of 8%,10-year convertible bonds. Each $1,000 bond is convertible into 2 sh common stock ( $1 par value per share) of Maple Corp. The bonds were sold at 97 on January 1, 2020. Assume that the conversion feature for 75% of the bonds is exercised on December 31,2020 , after Maple payments of $10,000 to shareholders to induce conversion. Assume that any discount or premium has bee through the date of conversion using the straight-line interest method. The common stock is selling at $80 on December 31, 2020. Please prepare journal entries for the following transactions: 1. The issuance of the convertible bonds on January 1,2020 , 2. The conversion of 75% of the bonds to common stock on December 31, 2020