Mountain Spring Distributors Limited $($MSDL$)$ is a distributor of plastic household products, located in Grange Hill, Westmoreland. The company was incorporated on the $1$st of January $2019$ with a share capital of $6,000,000$ ordinary shares of $$2.$ On the date of the incorporation the company acquired two $(2)$ delivery trucks at a cost of $$8,000,000$ each and decided to depreciate the trucks using the units of output method. The company planned to keep the trucks for a useful life of $200,000$ miles each. The residual value of each truck is estimated to be $$1,000,000$ each after $300,000$ miles. On January $1,2020$ MSDL issued $7\%$ convertible bonds at their nominal value of $$48,000,000.$ The bonds are convertible at any time up to maturity into $50$ ordinary shares for each $$600$ of bond. Alternatively, the bonds will be redeemed at par after $4$ years. Similar non$-$convertible bonds carry an interest rate of $10\%.$ On January $12021,$ the company issued $2,000,000$ ordinary shares at a price of $$3\mathrm{.}50$ which was fully subscribed. This w