Answer
Step1:
2010 June. 30
Bonds payable 140,000 dollars
Loss on redemption of bonds payable 20,300 dollars
Cash 142,800 dollars
Discount on Bonds payable 17,500 dollars
Step2:
June. 30
Bond Payable 170,000 dollars
Premium on bonds payable 14,000 dollars
Cash 166,600 dollars
Gain on redemption of bonds payable 17,400 dollars
Work Step by Step
Step1:
To record redemption of bonds payable
Step2:
To record redemption of bonds payable
