1. A $600,000 bond was retired at 96 when the carrying value of the bond was $570,000. The entry to record the retirement would include a

a.

loss on bond redemption of $6,000.

b.

gain on bond redemption of $30,000.

c.

loss on bond redemption of $30,000

d.

gain on bond redemption of $6,000.

1. Stromboli Inc. earns $450,000 and pays cash dividends of $150,000 during 2017. Plano Corporation owns 75,000 of the 225,000 outstanding shares of Stromboli.
2. How much revenue from investment should Plano report in 2017?

a.

$200,000

b.

$150,000

c.

$100,000

d.

$50,000