Question
Bramble Corp. retires its $460000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at
Bramble Corp. retires its $460000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at the redemption date is $442750. The entry to record the redemption will include a
a. debit of $9200 to Premium on Bonds Payable.
b. credit of $17250 to Discount on Bonds Payable.
c. debit of $26450 to Gain on Bond Redemption.
d. credit of $17250 to Loss on Bond Redemption.
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Managerial Accounting Tools for business decision making
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
5th edition
470506954, 471345881, 978-0470506950, 9780471345886, 978-0470477144
