question 27

A 15-year bond was issued in 20X0 at a discount. During 20X10, a 10-year bond was issued at face amount with the proceeds used to retire the 15-year bond at its face amount. The net effect of the 20X10 bond transactions was to increase long-term liabilities by the excess of the 10-year bond's face amount over the 15-year bonds

Following Options:

Carrying amount less the deferred loss on bond retirement.

Carrying amount.

Face amount.

Face amount less the deferred loss on bond retirement.