Your answer is partially correct. The balance sheet for Blue Spruce Consulting reports the following information on July 1, 2022. Long-term liabilities Bonds payable $1,120,000 Less: Discount on bonds payable 44,800 $1,075,200 Blue Spruce decides to redeem these bonds at 103 after paying annual interest. Prepare the journal entry to record the redemption on July 1, 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation July 1 Bonds Payable Loss on Bond Redemption Discount on Bonds Payable Cash Debit Credit 1,120,000 959,840 44,800 115,360