Question 12 Kingbird, Inc. issued $7,080,000 of 8% bonds on October 1, 2020, due on October 1, 2025. The Interest is to be paid twice a year on April 1 and October 1. The bonds were sold to yield 10% effective annual interest. Kingbird, Inc. closes its books annually on December 31. Complete the following amortization schedule for the dates indicated. Use the effective-interest method. (Round answers to o decimal places, e.g. 5,275.) Cash Interest Expense Bond Discount Carrying Amount of Bonds $6,533,277 Date October 1, 2020 April 1, 2021 October 1, 2021 SHOW LIST OF ACCOUNTS Prepare the adjusting entry for December 31, 2021. Use the effective interest method. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Dec. 31 Compute the interest expense to be reported in the income statement for the year ended December 31, 2021. Interest expense