Question: Stellar Corporation issued 6 , 0 0 0 , five year, 3 % bonds at 1 0 3 on January 1 , 2 0

Stellar Corporation issued $6, 000,$ five year, $3 %$ bonds at $103$ on January $1, 2023 .$ Interest is paid annually. Each $ $1, 000$ bond carried one detachable warrant allowing the holder to purchase $100$ common shares in Stellar at $ $9$ per share, the price at which Stellar shares were trading on the day of the sale of the bonds. Similar straight bonds trading on the open market paid $6 % .$ On June $30, 2023, 1, 200$ of the bond holders exercised the options to buy the shares.

Prepare the journal entries to record these events.

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