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On January 1 , 2 0 2 0 , Bramble Corporation issued $ 5 , 1 3 0 , 0 0 0 of 1 0

On January 1,2020, Bramble Corporation issued $5,130,000 of 10% bonds at 102 due December 31,2029. Bramble paid $81,000 in bond issue costs when the bonds were issue to the market. These will be amortized over the life of the bond. The premium on the bonds is also being amortized on a straight-line basis over the 10 years. (Straight-line is not materially different in effect from the preferable "interest method".)
The bonds are callable at 104(i.e., at 104% of face amount), and on January 2,2025, Bramble called one-half of the bonds and retired them.
Ignoring income taxes, compute the amount of loss, if any, to be recognized by Bramble as a result of retiring the $2,565,000 of bonds in 2025.
Loss on redemption
Prepare the journal entry to record the retirement. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.)
Date
Account Titles and Explanation
Debit
Credit
January 2,
2025
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