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  3. 17 4points barker, inc. decides to extinguish bond

17 4points Barker, Inc. decides to extinguish bonds payable with a Face Value of $175,000,...

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Accounting

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17 4points Barker, Inc. decides to extinguish bonds payable with a Face Value of $175,000, a stated rate of 4% and ayield of 5% The unamortized discount at time of reacourition is $6.206, and the bonds are called at 97 . What is the journat entry to record the extinguishment? DR Bonds Payable $175,000; DR Bond Discount $6,206; CRCash $169.750 : CR Galn on Redemption $11,456; DR Bonds Payable $175,000 : DR Loss on Redemption 2,885 CR Bond Discount \$2,885 CRCash \$175,000: DR Bonds Payable \$168,794: DR Loss on Redemption $6,206 : CRCash $175.000 OR Bends Payable \$175,000; DR Loss on Redemption \$956; CR Bond Discount \$6,206: CRCash $169,750

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