I want to create DB using shell script by passing variable

[Anil G]

Hi I am very much new to Mysql and shell script.
I want to create a database using shell script.
DB name variable has to be taken from shell script.
Pls help me in this case.
My programme is as follows.
echo "ENTER DB NAME = "
read bugproj
mysql << 'EOF'
create database `$bugproj` CHARACTER SET utf8;
EOF

The above script creates database called $bugproj instead of the input given

Pls help me

Anil(8892938989)