Question 12 of 40 - / 15 View Policies Current Attempt in Progress A corporation called an outstanding bond obligation four years before maturity. At that time there was an unamortized discount of $1600000. To extinguish this debt, the company had to pay a call premium of $590000. ignoring income tax considerations, how should these amounts be treated for accounting purposes? Charge $2190000 to a loss in the year of extinguishment. Either amortize $1010000 over four years or charge $1010000 to a loss immediately, whichever management selects. O Amortize $2190000 over four years. Charge $590000 to a loss in the year of extinguishment and amortize $1600000 over four years. Save for Later Attempts: 0 of 1 used Submit