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On November 1, 2021, Blossom Company purchased Sunland, Inc., 10-year, 9%, bonds with a face value of $780000, for $700000. An additional $22000 was
On November 1, 2021, Blossom Company purchased Sunland, Inc., 10-year, 9%, bonds with a face value of $780000, for $700000. An additional $22000 was paid for the accrued interest. Interest is payable semiannually on January 1 and July 1. The bonds mature on July 1, 2028, Blossom uses the straight-line method of amortization. Ignoring income taxes, the amount reported in Blossom's 2021 income statement as a result of Blossom's available-for-sale investment in Sunland was O $15100. $11650. $14550. $13100.
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