Wang Inc. has $3,000,000 (par value), 8% convertible bonds outstanding. Each $1,000 bond is convertible into thirty no par value common shares. The bonds pay interest on January 31 and July 31. On July 31, 2020, the holders of $900,000 worth of bonds exercised the conversion privilege. On that date the market price of the bonds was 105, the market price of the common shares was $36, the carrying value of the common shares was $18 and the Contributed SurplusConversion Rights account balance was $450,000. The total unamortized bond premium at the date of conversion was $210,000. Using the book value method, Wang should record, as a result of this conversion,

a credit of $63,000 to Bonds Payable.

a credit of $135,000 to Contributed SurplusConversion Rights

a debit of $135,000 to Contributed SurplusConversion Rights.

a debit of $210,000 to Bonds Payable.