QS 10-9 Bond retirement by call option LO P4 On July 1, 2017, Advocate Company exercises an $5.600 call option (plus par value) on its outstanding bonds that have a carrying value of $287,600 and par value of $280,000. The company exercises the call option after the semiannual interest is paid on June 30 2017 Record the entry to retire the bonds. Journal entry worksheet Record the retirement of bonds before maturity. Note: Enter debits before credits. Debit Credit General Journal Date July 01, 2017 Next >