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E10-18 Recording the Early Retirement of a Bond Issued at a Discount (with Discount Account) LO10-7 Several years ago, Nicole Company issued bonds with a face value of $1,130,000 for $1,010,000. As a result of declining interest rates, the company has decided to call the bond at a call premium of 5 percent over par. The bonds have a current book value of $1,103,000. Record the retirement of the bonds, using a discount account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet No Transaction General Journal Debit Credit Bonds payable Loss on bond call Discount on bonds payable Cash