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On May 1, 2020, Blossom Corp. issued $820,000, 12%, 5-year bonds at face value. The bonds were dated May 1, 2020, and pay interest annually

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On May 1, 2020, Blossom Corp. issued $820,000, 12%, 5-year bonds at face value. The bonds were dated May 1, 2020, and pay interest annually on May 1. Financial statements are prepared annually on December 31. (a) Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit May 1, 2020 (b) Prepare the adjusting entry to record the accrual of interest on December 31, 2020. (Credit account titles are automatically indented Ahen amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,675.) Date Account Titles and Explanation Debit Credit Dec 31, 2020 (c) Show the balance sheet presentation on December 31, 2020. (Enter account name only and do not provide descriptive information. Round answers to o decimal places, e.g. 5,675.) Blossom Corp. Balance Sheet (Partial) $ $ (d) Prepare the journal entry to record payment of interest on May 1, 2021. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,675.) Account Titles and Explanation Debit Credit Date May 1, 2021 (e) . Prepare the adjusting entry to record the accrual of interest on December 31, 2021. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,675.) Account Titles and Explanation Debit Credit Date Dec. 31. 2021 (6) Assume that on January 1, 2022, Blossom pays the accrual bond interest and calls the bonds. The call price is 103. 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, e.g. 5,675.) Date Account Titles and Explanation Debit Credit Jan. 1. 2022 (To record payment of interest) Jan. 1 2022 (To record redemption of the bonds)

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