On January 1, 2020, Stranger Things (ST) Incorporated issued $10,000,000 face amount of 8%, 10 year bonds in a private placement. The bond issue sold for $12,000,000 and the market rate was 6%. The bonds pay interest annually. in cash, on 31 December. The bonds are convertible into 50 common shares for each $1,000 of the bonds' face value. At maturity, ST Incorporated has the option of issuing common shares to redeem the bonds instead of paying cash. Required: 1. Calculate the present value of the Bonds (2 marks). 2. Prepare Journal entries to record the issuance of the bonds on January 1, 2020 (4 marks). 3. Prepare a journal entry to record the interest payment on the first interest date of 31 December 2020 (5 marks) 4. Assume that on January 15, 2021, the shares were converted when the market price of the share was $102. Prepare the required journal entry (4 marks)