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Clabber company has bonds outstanding with a par value of $113,000 and a carrying value of $105,100. if the company calls these bonds at a price of $101,500, the gain or loss on…
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Clabber company has bonds outstanding with a par value of $113,000 and a carrying value of $105,100. if the company calls these bonds at a price of $101,500, the gain or loss on…
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Jul 12, 2019
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Clabber company has bonds outstanding with a par value of $113,000 and a carrying value of $105,100. if the company calls these bonds at a price of $101,500, the gain or loss on retirement is:
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Alex Taggart
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Gain on retirement of bonds = book value of bonds - the amount paid to the bondholders = 105,100 - 101,500 = $3600
So, $3600 should be the gain or loss on the retirement.
Kalpa
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Jul 18, 2019
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