Ok so this is the question:

On August 1, 2011, Limbaugh Communications issued $30 million of 10% nonconvertible bonds at 104. The bonds are due on July 31, 2031. Each $1,000 bond was issued with 20 detachable stock warrants, each of which entitled the bondholder to purchase, for $60, one share of Limbaugh Communications’ no par common stock. Interstate Containers purchased 20% of the bond issue. On August 1, 2011, the market value of the common stock was $58 per share and the market value of each warrant was $8.

In February 2022, when Limbaugh’s common stock had a market price of $72 per share and the unamortized discount balance was $1 million, Interstate Containers exercised the warrants it held.

Prepare the journal entries for both Limbaugh and Interstate in February 2022, to record the exercise of the warrants.

So far this is what I have for my journal entries
Cash 7.2 mil
Equity on Stock warrants
Common Stock

I don't need the answer simple the steps I need to take to get equity on stock since that is what we are focusing on.. When I look over my notes and book my answer seems to be incorrect. I don't know what I am doing wrong.

My common stock is a credit account

Ok so this is the question:

On August 1, 2011, Limbaugh Communications issued $30 million of 10% nonconvertible bonds at 104. The bonds are due on July 31, 2031. Each $1,000 bond was issued with 20 detachable stock warrants, each of which entitled the bondholder to purchase, for $60, one share of Limbaugh Communications' no par common stock. Interstate Containers purchased 20% of the bond issue. On August 1, 2011, the market value of the common stock was $58 per share and the market value of each warrant was $8.

In February 2022, when Limbaugh's common stock had a market price of $72 per share and the unamortized discount balance was $1 million, Interstate Containers exercised the warrants it held.

Prepare the journal entries for both Limbaugh and Interstate in February 2022, to record the exercise of the warrants.

So far this is what I have for my journal entries
Debit: Cash 7.2 mil
Debit: Equity on Stock warrants
Credit: Common Stock

I don't need the answer simple the steps I need to take to get equity on stock since that is what we are focusing on.. When I look over my notes and book my answer seems to be incorrect. I don't know what I am doing wrong.