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The Pandora Company made the following errors on 12/31/19: Recorded the purchase of Treasury Stock by debiting Accounts Payable and crediting Revenue for $8. Recorded
The Pandora Company made the following errors on 12/31/19: Recorded the purchase of Treasury Stock by debiting Accounts Payable and crediting Revenue for $8. Recorded the issuance of 10-year bonds at par value by debiting Interest Expense and crediting cash for $13. 12/31/19 Total Stockholders' Equity is in error by: Select one: a. $13 b. $16 OOOO On January 1, 2022, Gorski Corp. purchased $1,000,000, 10% bonds for $1,040,000. These bonds were to mature on January 1, 2032, but were redeemable at 101 any time after December 31, 2025. Interest was payable semiannually on July 1 and January 1. On July 1, 2028, Gorski redeemed all of the bonds. Bond premium was amortized on a straight-line basis. Gorski's gain or loss in 2028 was: Select one: O a. $30,000 loss b. $4,000 loss O c. $10,000 gain O d. $8,000 loss e. $12,000 gain
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