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Tamarisk Company has bonds payable outstanding in the amount of $600,000, and the Premium on Bonds Payable account has a balance of $9,200. Each $1,000

Tamarisk Company has bonds payable outstanding in the amount of $600,000, and the Premium on Bonds Payable account has a balance of $9,200. Each $1,000 bond is convertible into 20 shares of preferred stock of par value of $50 per share. All bonds are converted into preferred stock. Assuming that the book value method was used, what entry would be made?

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