Convertible Bonds On December 31, 2019, Dare Corporation had outstanding 8%, $2,000,000 face value convertible bonds maturing on December 31, 2023. Interest is payable annually on December 31. Each $1,000 bond is convertible into 60 shares of Dare's $10 par value common stock. On January 2, 2021, when the Premium on Bonds Payable account balance was $45,000, an individual holding 200 of the bonds exercised the conversion privilege when the market value of Dare's common stock was $18 per share. Using the book value method, Dare's entry to record the conversion should include a credit to Additional Paid-In Capital of:. A) $80,000
B) $84,500
C) $96,000
D) $125,000