A $100,000 Bond Was Retired at 96 When the Carrying

question 51

Multiple Choice

A $100,000 bond was retired at 96 when the carrying amount of the bond was $105,000. The entry to record the retirement would include a:

• A) gain on bond redemption of $9,000.
• B) loss on bond redemption of $4,000.
• C) loss on bond redemption of $8,000.
• D) gain on bond redemption of $4,000.

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Definitions:

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