Blossom Company sold $3,300,000, 6%, 10-year bonds on January 1, 2020. The bonds were dated January 1, 2020 and pay interest annually on January 1. Blossom Company uses the straight-line method to amortize bond premium or discount.

Assume that on January 1, 2022, Pharoah pays the accrual bond interest and calls the bonds. The call price is 105. Record the payment of interest and redemption of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to decimal places, eg. 5,675.) Date Account Titles and Explanation Debit Credit Jan. 1, 2022 Interest Payable 22,400 Interest Expense 22,400 (To record payment of interest) Jan. 1, 2022 Interest Expense 56000 Interest Payable 22400 Cash 33600 (To record redemption of the bonds) Assume that on January 1, 2022, Pharoah pays the accrual bond interest and calls the bonds. The call price is 105. Record the payment of interest and redemption of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to decimal places, eg. 5,675.) Date Account Titles and Explanation Debit Credit Jan. 1, 2022 Interest Payable 22,400 Interest Expense 22,400 (To record payment of interest) Jan. 1, 2022 Interest Expense 56000 Interest Payable 22400 Cash 33600 (To record redemption of the bonds)