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Please show the work on how the Loss on Bond Redemption and Discount on Bonds Payable were calculated. Thank you. Martinez Corp. issued $472,000 of
Please show the work on how the "Loss on Bond Redemption" and "Discount on Bonds Payable" were calculated. Thank you.
Martinez Corp. issued $472,000 of 14-year bonds at a discount. Prior to maturity, when the carrying value of the bonds was $457,840, the company redeemed the bonds at 99. Prepare the entry to record the redemption of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit 472000 Bonds Payable 9440 Loss on Bond Redemption 467280 Cash 14160 Discount on Bonds PayableStep by Step Solution
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