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On January 3, 2020, Blossom Company acquires $370000 of Adam Companys 10-year, 10% bonds at...

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Accounting

On January 3, 2020, Blossom Company acquires $370000 of Adam Companys 10-year, 10% bonds at a price of $402090 to yield 9%. Interest is payable each December 31. The bonds are classified as held-to-maturity. Assuming that Blossom Company uses the effective-interest method, what is the amount of interest revenue that would be recognized in 2021 related to these bonds?

$37000

$36115

$36188

$40209

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