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disa [49]
3 years ago
6

On December 31, a $1,500,000 bond issue on which there is an unamortized discount of $70,100 is redeemed for $1,455,000.

Business
1 answer:
andre [41]3 years ago
7 0

Answer:

                                    Journal entry

Date          Accounts & Explanation               Debit             Credit

Dec 31      Bonds payable                             $1,500,000

                Loss on Redemption of Bonds $25,100

                Unamortized Discount on bonds payable  $70,100

                Cash                                                                     $1,455,000

                <em>(To record redemption of bonds payable)</em>

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