Venus Ltd. had 250 $1,000 bonds outstanding, with each one convertible into 20 common shares. The bonds were later converted on December 31, 2011, when the unamortized discount was $14,000, and the shares’ market price was $21 per share. The company complies with ASPE, and allocated all of the proceeds to the debt component upon initial recognition. Record the conversion using the book value approach.