help 21-22 21. Kant Corporation retires its $500,000 face value bonds at...
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help 21-22
21. 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 $471,250. The entry to record the redemption will include a a credit of $28.750 to Loss on Bond Redemption b. credit of $28,750 to Discount on Bonds Payable c. debit of $38,750 to Gain on Bond Redemption d. debit of $10,000 to Premium on Bonds Payable. 22.On January 1, Patterson Inc. issued $4,000,000, 9% bonds for $3,755,000. The market rate of interest for these bonds is 10% Interest is payable anmully on December 31. Patterson uses the effective interest method of amortizing bond discount. At the end of the first year, Patterson should report namortized bond discount of a $245.000 b. $235.000 e$229,500 d. 5212.450
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