Your answer is partially correct. On July 1, 2020, Tien Limited called its 10% convertible bonds for conversion. The $10,000,000 of par value bonds were converted into 1,000,000 common shares. On July 1, there was $75,000 of unamortized discount applicable to the bonds, and the company paid an additional $70,000 to the bondholders to induce conversion of all the bonds. At the time of conversion, the balance in the account Contributed Surplus-Conversion Rights was $270,000, and the bond's fair value (ignoring the conversion feature) was $9,955,000. The company records conversion using the book value method. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) a) IFRS: Account Titles and Explanation Loss on Redemption of Bonds Debit 75,000 Credit Bonds Payable 9,955,000 Contributed Surplus - Conversion Rights 270,000 Common Shares Cash b) ASPE: 10,225,000 75,000