On October $1,2026,\backslash$$$549,000$ of bonds were turned in for conversion into common stock. Interest has been accrued monthly and paid as due. At the time of conversion, any accrued interest on bonds being converted is paid in cash.

Prepare the journal entries to record the conversion, amortization, and interest in connection with the bonds as of the following dates. $($Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.$)$

$($a$)$ October $1,2026.($Assume the book value method is used.$)$

$($b$)$ October $31,2026$

$($c$)$ December $31,2026,$ including closing entries for end$-$of$-$year.

No$.$ Date Account Titles and Explanation

Debit

Credit

$($a$)$ Oct. $1,549000$

$2026$

Bonds Payable

Paid$-$in Capital in Excess of Par $-$ Common Stock

$($To record conversion of bonds to common stock$)$

Oct. $1,$

$2026$

$($To record payment of interest due on converted bonds$)$

Oct.

$($b$)31,$

$2026$

$($To record amortization of discount on bonds$)$

Oct.

$31,$

$2026$

$($To record accrual of interest payable on bonds$)$

Dec.

$($c$)31,$

$2026$

$($To record amortization of discount on bonds$)$

Dec.

$31,$

$2026$

$($To record accrual of interest payable on bonds$)$

Dec.

$31,$

$2026$