On Jan. $1,2015,$ Scarlet issued $$20$ million of $5\%$ convertible bonds due in $20$ years at $103.$ These bonds are convertible at the option of the holder into no par common stock at a conversion ratio of $20$ shares per $$1000$ bond. Violet Corporation purchased $10\%$ of these bonds.

On Dec. $31,2021,$ after paying interest, Scarlet had $$450,000$ in Bond Premium associated with these bonds. Scarlet also offered $$10$ cash for each $$1,000$ bond converted at this time. After receiving the interest payment, Violet converted all the bonds into shares.

What journal entry does Scarlet record for the conversion?