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Kant Corporation retires its $300,000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at
Kant Corporation retires its $300,000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at the redemption date is $288,750. The entry to record the redemption will include a
credit of $11,250 to Loss on Bond Redemption. |
| credit of $11,250 to Discount on Bonds Payable. |
| debit of $17,250 to Gain on Bond Redemption. |
| debit of $16,000 to Premium on Bonds Payable. |
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