Question
The Raptor retires a $20 million bond issue when the carrying value of the bonds is $18 million, but the market value of the bonds
The Raptor retires a $20 million bond issue when the carrying value of the bonds is $18 million, but the market value of the bonds is $15 million. The entry to record the retirement will include:
| A debit of $3 million to a loss account. |
| A credit of $3 million to a gain account. |
| No gain or loss on retirement. |
| A credit to cash for $18 million. |
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Modern Internal Auditing Continuing Professional Education CPE Edition
Authors: Robert M. Atkisson, Victor Z. Brink, Herbert N. Witt
1st Edition
0471818828, 978-0471818823
