On August 1, 2022, United Corporation issued $10 million of 8% convertible bonds at 105 . The bonds mature in 20 years. Each $1,000 bond was issued with 20 detachable stock warrants, each of which entitled the bondholder to purchase, for $50, one share of United Corp. (\$5 par) common stock. World Company purchased 10\% of the bond issue. On August 1, 2022, the market value per share for United stock was \$56 and the market value of each warrant was \$6. Assume in March 2028, when United common stock had a market price of $70 per share and the balance of the discount was $300,000, World Company exereised the warrants it held. Required: 1. Prepare the journal entries on August 1,2022, to record the issuance of the bonds by United. 2. Prepare the journal entries by United in March 2028 to record the exercise of the warrants. On August 1, 2022, United Corporation issued $10 million of 8% convertible bonds at 105 . The bonds mature in 20 years. Each $1,000 bond was issued with 20 detachable stock warrants, each of which entitled the bondholder to purchase, for $50, one share of United Corp. (\$5 par) common stock. World Company purchased 10\% of the bond issue. On August 1, 2022, the market value per share for United stock was \$56 and the market value of each warrant was \$6. Assume in March 2028, when United common stock had a market price of $70 per share and the balance of the discount was $300,000, World Company exereised the warrants it held. Required: 1. Prepare the journal entries on August 1,2022, to record the issuance of the bonds by United. 2. Prepare the journal entries by United in March 2028 to record the exercise of the warrants