OnJanuary1,2018,DotyCo.redeemedits15-yearbondsof$7,000,000parvaluefor102.Theywere originally issued on January 1, 2006 at 92 with a maturity date of January 1, 2021. Doty amortizes discounts and premiums using the straight-line method. What amount of loss should Doty recognize on the redemption of these bonds (ignore taxes)? explain your answer.

A) $252,000 B) $168,000 C) $140,000 D) $0

On January 1, 2018, Doty Co. redeemed its 15-year bonds of $7,000,000 par value for 102. They were originally issued on January 1, 2006 at 92 with a maturity date of January 1, 2021. Doty amortizes discounts and premiums using the straight-line method. What amount of loss should Doty recognize on the redemption of these bonds (ignore taxes)? AD $252,000 B) $168,000 C) $140,000 D) $0