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On January 2,2020, Sheffield Corporation issued $1,450,000 of 10% bonds at 97 due December 31,2029....

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Accounting

On January 2,2020, Sheffield Corporation issued $1,450,000 of 10% bonds at 97 due December 31,2029. Interest on the bonds is payable annually each December 31. The discount on the bonds is also being amortized on a straight-line basis over the 10 years. (Straight-line is not materially different in effect from the preferable "interest method.")
The bonds are callable at 102(i.e., at 102% of face value), and on January 2,2025, Sheffield called $870,000 face value of the bonds and redeemed them.
Ignoring income taxes, compute the amount of loss, if any, to be recognized by Sheffield as a result of retiring the $870,000 of bonds in 2025.(Round answer to 0 decimal places, e.g.38,548.)
Loss on redemption
$
Prepare the journal entry to record the redemption. (Round answers to 0 decimal places, e.g.38,548. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not Indent manually. Llst all debit entries before credit entrles.)
Date Account Titles and Explanation
January 2,
2025
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