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Blossom Corporation is a regional company which is an SEC registrant. The corporation's securities are thinly traded on NASDAQ. Blossom Corp, has issued 21,000 units. Each unit consists of a $1,530 par value, 12% subordinated debenture and 20 shares of $11 par common stock. The units were sold to outside investors for cash at $1,800 per unit. Prior to this sale, the 2 -week ask price of common stock was $1 per share. Twelve percent is a reasonable market yield for the debentures, and therefore the par value of the bonds is equal to the fair value. (a) Prepare the journal entry to record Biossom's transiction, under the following conditions. (List oll debit entries before credit entries. Do not round intermediate calculations, Round final answers to 0 decimal places, es. 38,487. Credit account titles are autompatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts: 1. Employing the incremental method. 2. Employing the proportional method, assuming the recent price quote on the common stock reflects fair value. Question 2 of 4 8.89/10 No. Account Titles and Explanation 1. \begin{tabular}{|l|} \hline Caph \\ \hline Bonds Payable \\ \hline Common Stock \\ \hline Paid-in Capital in Excess of Par-Common Stock \\ \hline \end{tabular} 2. \begin{tabular}{|l|} \hline Cash \\ \hline Discount on Bonds Payable \\ \hline Bonds Payable \\ \hline Common Stock \\ \hline Paid-in Capital in Excess of Par. CommonStock \\ \hline \end{tabular} Debit Credit 37800000 32130000 4020000 1050000 eTextbook and Media List of Accounts

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