A Company Has Bonds Outstanding with a Par Value of $100,000

question 18

Multiple Choice

A company has bonds outstanding with a par value of $100,000. The unamortized discount on these bonds is $4,500. The company retired these bonds by buying them on the open market at 97. What is the gain or loss on this retirement?

• A) $0 gain or loss.
• B) $1,500 gain.
• C) $1,500 loss.
• D) $3,000 gain.
• E) $3,000 loss.

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Definitions:

Cultural Awareness

The understanding and appreciation of cultural differences and similarities within and between groups.

Cultural Awareness

The understanding and appreciation of cultural differences and similarities, both within and between organizations.

Globalization

The process by which businesses or other organizations develop international influence or start operating on an international scale, leading to increased connectivity and interdependence of the world's markets and businesses.

Cultural Differences

Variations in the beliefs, behaviors, norms, and customs among people from different backgrounds or societies.