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On October 1, 2020, Blossom Company purchased 900 of the $1000 face value, 9% bonds of Splish, Inc., for $986000, including accrued interest of $19000.
On October 1, 2020, Blossom Company purchased 900 of the $1000 face value, 9% bonds of Splish, Inc., for $986000, including accrued interest of $19000. The bonds, which mature on January 1, 2027, pay interest semiannually on January 1 and July 1. Blossom used the straight-line method of amortization and appropriately recorded the bonds as available-for-sale. On Blossom's December 31, 2021 balance sheet, the carrying value of the bonds is
$967000.
$972600.
$968800.
$953600.
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