On December 31, 2020, Blossom, Inc. sold $3,950,000 (face value) of bonds. The bonds are dated December 31, 2020, pay interest annually on December 31, and will mature on December 31, 2020. The following schedule was prepared by the accountant for 2020. Annual Interest Period 1 (a1) Interest to be Paid $197,500 To Interest Expense Stated interest rate $232,260 Amortization On the basis of the above information, answer the following questions. What is the stated interest rate for this bond issue? $34,760 % Unamortized Amount $79,000 44,240 Bond Carrying Value $3,871,000 3,905,760

On December 31, 2020, Biossom, Inc. sold \$3,950,c00 (face value) of bonds. The bonds are dated December 31, 2020. pay interest annually on December 31 , and will mature on December 31, 2020. The following schedule was prepared by the accountant for 2020 . On the basis of the above information, answer the following questions. (a1) What is the stated interest rate for this bond issue? Stated interest rate