Several years ago, Walther, Inc. issued 12,000 shares of $40 par preferred stock at $60. Each share of preferred was convertible into three shares of $10 par common stock. On January 10, 2020, one-half of the preferred stock was converted.

Required: Indicate the credits that should be made in the entry to record this conversion.

Account	Amount
Additional paid-in capital on preferred stockCommon stockPreferred stockPremium on bonds payable	$fill in the blank 2
Additional paid-in capital on common stockAdditional paid-in capital from preferred stock conversionBonds payableRetained earnings	fill in the blank 4