On January 1, 2016, the Rangler Company issued $600,000 of bonds at $612,000. The stated annual interest rate is 8%, and interest is paid on June 30 and December 31. The bonds were callable at $630,000. At the end of the sixth year, the company exercised the call option and retired the bonds when bonds payable account balance was $600,000 and premium on bonds payable account balance was $3,000. Prepare the journal entry to record the retirement.

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On January 1,2016 , the Rangler Company issued $600,000 of bonds at $612,000. The stated annual interest rate is 8%, and interest is paid on June 30 and December 31 . The bonds were callable at $630,000. At the end of the sixth year, the company exercised the call option and retired the bonds when bonds payable account balance was $600,000 and premium on bonds payable account balance was $3,000. . Prepare the journal entry to record the retirement