A company has bonds outstanding with a par value of $100,000. The unamortized discount on these bonds is $4,700. The company calls these bonds at a price of $97,000 the gain or loss on retirement is:Multiple Choice$0 gain or los.$3,000 gain.$1,700 gain.$3.000 loss.$1,700 loss.

SOLUTION- FORMULAS- 1- CARRYING VALUE = PAR VALUE - UNAMORTISED DISCOUNT . 2- GAIN OR (LOSS) =…

Answered: A company has bonds outstanding with a…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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QUESTION 9 A company has bonds outstanding with a parvalue of $100.000, The unamortized premium on these bonds is $3.500. The company callis these bonds at a price of $102.000, the gain or loss on retirement is: ie AAnswers
If the bonds payable account has a balance of $900,000 and the discount on bonds payable account has a balance of $72,000, what is the carrying amount of bonds? A. $828,000 B. $900,000 C. $972,000 D. $580,000

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A company has bonds outstanding with a par value of $100.000. The unamortized discount on these bonds is $4,700. The company calls these bonds at a price of $97,000 the gain or loss on retirement is: Multiple Choice $0 gain or loss $3,000 gain. $1,700 gain. $3.000 loss. $1,700 loss.