Process of State

I learned that when an interrupt occurs, the process goes to the ready queue rather than going through the Blocked Queue. However, in this picture, the interrupted process has moved to the blocked queue(which is a circle with pink color). I'm confused that which case goes to the ready queue and which goes to the blocking queue.

Process management in general is much more complex than this. A task is often tied to one specific processor core. Several tasks are tied to the same processor core and each of these tasks can be blocked waiting for IO. It means that any task can be interrupted at any time by an interrupt triggered by a device controller even if the task currently running on the core had nothing to do with that specific interrupt.

The diagram is thus incomplete. It doesn't take in account the complete process lifecycle. In your diagram, the process goes on the blocked queue if it is waiting for IO (after a syscall like read()). It goes to the ready queue if it was preempted by the kernel for another process to have some time on that core.

I think people often have the misconception that each process will run all the time until completion. It cannot be that way otherwise most processes would never get time on any core. Instead, if the amount of processes is higher than the amount of cores, the kernel uses the per core local APIC's timer (local APIC is on x86-64 but you will have similar mechanisms on every architecture) to give every process tied to that core a time slice. When a certain process is scheduled for a certain core, the kernel starts the timer with its time slice. When the time slice has elapsed, the local APIC triggers an interrupt letting the kernel know that another process should be scheduled on that core. This is why a process can be preempted in the middle of its execution. The process is still considered to be ready to run. It is simply that its time slice was exhausted so the kernel decides to give some time to another process. The preempted process will be given some more timer later. Since, in human terms, the time slice of each process is very short, it gives the impression that each process is running consistently without interruption when it is not really the case. (By the way this diagram is very Linux kernel specific)