question archive Kant Corporation retires its $500,000 face value bonds at 102 on January 1, following the payment of interest
Kant Corporation retires its $500,000 face value bonds at 102 on January 1, following the payment of interest
Subject:AccountingPrice: Bought3
Kant Corporation retires its $500,000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at the redemption date is $481,250. The entry to record the redemption will include a
a. credit of $18,750 to Loss on Bond Redemption.
b. credit of $18,750 to Discount on Bonds Payable.
c. debit of $28,750 to Gain on Bond Redemption.
d. debit of $10,000 to Premium on Bonds Payable.
