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A company redeems $1,000,000 face value bonds with a carrying value of $990,000. If the call price is 104% the company will: (Note: 104% means
A company redeems $1,000,000 face value bonds with a carrying value of $990,000. If the call price is 104% the company will: (Note: 104% means 104% of the face value.) recognize a loss on the extinguishment of debt of $50,000. recognize a gain on the extinguishment of debt of $10,000. reduce bonds payable by $1,000,000
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