assignments/2658054 w Policies irrent Attempt in Progress On January 1, 2020. Cullumber Company purchased 12% bonds. having a maturity value of $287,000 for $308.758.85. The bonds provide the bondholders with a 10% yield. They are dated January 1, 2020, and mature January 1.2025 with interest received on January 1 of each year. Cullumber Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified as available for sale category. The fair value of the bonds at December 31 of each year-end is as follows. 2020 $306,500 2021 $296,800 2022 $295,800 2023 2024 $297,700 $287.000 (a) (b) Prepare the journal entry at the date of the bond purchase. Prepare the journal entries to record the interest revenue and recognition of fair value for 2020 Prepare the journal entry to record the recognition of fair value for 2021 (c) (Round answers to 2 decimal places, es 2,52525. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts) Account Titles and Explanation Date Credit an 1.2020 (b) Dec 31, 2020, To record interest received assignments/2658054 w Policies irrent Attempt in Progress On January 1, 2020. Cullumber Company purchased 12% bonds. having a maturity value of $287,000 for $308.758.85. The bonds provide the bondholders with a 10% yield. They are dated January 1, 2020, and mature January 1.2025 with interest received on January 1 of each year. Cullumber Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified as available for sale category. The fair value of the bonds at December 31 of each year-end is as follows. 2020 $306,500 2021 $296,800 2022 $295,800 2023 2024 $297,700 $287.000 (a) (b) Prepare the journal entry at the date of the bond purchase. Prepare the journal entries to record the interest revenue and recognition of fair value for 2020 Prepare the journal entry to record the recognition of fair value for 2021 (c) (Round answers to 2 decimal places, es 2,52525. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts) Account Titles and Explanation Date Credit an 1.2020 (b) Dec 31, 2020, To record interest received
