Question

Blossom Corp. purchased a put option on Mykia common shares on July 7, 2020, for $467....

Blossom Corp. purchased a put option on Mykia common shares on July 7, 2020, for $467. The put option is for 350 shares, and the strike price is $45. The option expires on January 31, 2021. The following data are available with respect to the put option: Fair Value Market Price Date of Option of Mykia Shares Sept. 30, 2020 $228 $52 per share Dec. 31, 2020 $101 $54 per share Jan. 31, 2021 $0 $58 per share Prepare the journal entry for Blossom Corp. for July 7, 2020: Invests in put option on Mykia shares. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit July 7, 2020 eTextbook and Media List of Accounts Prepare the journal entry for Blossom Corp. for September 30, 2020: Blossom prepares financial statements. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit September 30, 2020 eTextbook and Media List of Accounts Prepare the journal entry for Blossom Corp. for December 31, 2020: Blossom prepares financial statements. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit December 31, 2020 eTextbook and Media List of Accounts Prepare the journal entry for Blossom Corp. for January 31, 2021: Put option expires. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit January 31, 2021

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