The Geller Corporation has outstanding $400,000 of 8 percent bonds callable at 104. On December 1, immediately after the payment of the semiannual interest and the amortization of the bond discount were recorded, the unamortized bond discount equaled $10,500. On that date,

$240,000 of the bonds were called and retired. Prepare the entry to record the retirement of the bonds on December 1.

Bond Conversion