On Jamuary 1,2020, Hummer Company purchased $% bonds, having a maturity value of $500,000 for $428,938, The bonds provide the bondholders with a 7% yield. They are dated January 1,2020, and mature January 1,2027, with interest paid on June 30 and December 31 of each year. Hummer Compary 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. (a) Propare the joumal entry at the date of the bond gorchase. (b) Prepare the joumal emtries torecord the interest revenue and recomnitidyof fair value for 2020 (c) Prepare the journal entry to record the recognition of fair value for 2021. On Jamuary 1,2020, Hummer Company purchased $% bonds, having a maturity value of $500,000 for $428,938, The bonds provide the bondholders with a 7% yield. They are dated January 1,2020, and mature January 1,2027, with interest paid on June 30 and December 31 of each year. Hummer Compary 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. (a) Propare the joumal entry at the date of the bond gorchase. (b) Prepare the joumal emtries torecord the interest revenue and recomnitidyof fair value for 2020 (c) Prepare the journal entry to record the recognition of fair value for 2021