A company has bonds outstanding with a par value of $100,000. The unamortized premium on these bonds is $2,700. If the company retired these bonds at a call price of $99,000, the gain or loss on this retirement is:

A. $3,700 gain.
B. $2,700 loss.
C. $1,000 gain.
D. $2,700 gain.
E. $1,000 loss.


Answer: A

Business

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