PROBLEM 2 On May 1, 2018, Kirmer Corporation purchased $1,500,000 of 12% bonds, interest payable on January 1 and July 1, for $1,406,500 plus accrued interest. The bonds mature on January 1, 2024. Amortization is recorded when interest is received by the straight-line method (by months and round to the nearest dollar). (Assume bonds are available for sale.) Instructions (a) Prepare the entry for May 1, 2018. (accrued interest is $60,000). (b) Prepare the entry for the interest received December 31, 2018