Waterway Inc. issued 3780000 of 9%, 10-year convertible bonds on June 1, 2025, at 98 plus accrued interest. The bonds were dated April 1, 2025 with interest payable April 1 and October 1. Bond discount is amortized semiannually on a straight line basis. On April 1, 2026 1417500 of these bonds were converted into 30000 shares of 19 par value common stock. Accrued interest was paid in cash at the time of conversion. (a) Prepare the entry to record the interest expense on October 1, 2025. Assume that accrued interest payable was credited when the bonds were issued. (b) Prepare the entry to record the conversion on April 1, 2026. (Book value method is used) Assume that the entry to record amortization of the bond discount and interest payment has been made.