Practice Problem 6 (10 minutes) On January 1, 2020, Coattail Corp. issued $50,000,000 of 5%, 25-year bonds for total proceeds of $52,000,000. The bonds can be converted into 50,000 common shares on January 1, 2022, at the request of the bondholder. Interest payments are made semi- annually on June 30 and December 31 each year. Coattail has determined that similar bonds without the conversion feature have a fair value of $46,625,354. Coattail reports under IFRS. Required: a) Use the issue-analysis-recommendation (IAR) approach to determine how Coattail should record the bonds at initial recognition. b) The bondholders convert their bonds to common shares on January 1, 2022. Describe how Coattail should record the conversion