On January $1,2024,$ Gless Textiles issued $$12\mathrm{.}4$ million of $7\%,10-$year convertible bonds at $104.$

The bonds pay interest on June $30$ and December $31.$

Each $$1,000$ bond is convertible into $40$ shares of Gless$$s no par common stock.

Bonds that are similar in all respects, except that they are nonconvertible, currently are selling at $99($that is$,99\%$ of face amount$).$

Century Services purchased $8\%$ of the issue as an investment.

Required:

Assume Gless Textiles prepares its financial statements according to International Financial Reporting Standards. Prepare the journal entry for the issuance of the bonds by Gless using the net method.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your answers in whole dollars.