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Extinguishment of Debt-Buchanan Company issues 10-year term bonds with a par value of $800,000, dated January 1, 2018, and bearing interest at an annual rate

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Extinguishment of Debt-Buchanan Company issues 10-year term bonds with a par value of $800,000, dated January 1, 2018, and bearing interest at an annual rate of 8% (Stated Rate) payable semiannually on January 1 and July 1. Market interest rate is 10%. At the time of the extinguishment, Discount had a balance of $93,516. Bonds are recalled at 115 on Dec. 31, 2018. Expenses of recall are $2,500. Date Cash Pald 4% Interest Expense 5% Discount Amortized Carrying Amount of Bonds 1/1/2018 $ 700,303 7/1/2018 $32,000 $ 35,015$ 3,015$ 703,318 12/31/2018 $32,000 $ 35,166 $ 3,166 $ 706,484 REQUIRED - Indicate the amounts of the following Journal entry on December 31, 2018 #13 #14 Bond Payable Loss Discount Cash #15 #16

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