Respuesta :
Answer:
Dr Bonds payable $50,000
Dr Bonds premium $2,500
Dr Loss bond retirement $1,500
Cr Cash $54,000
Explanation:
The amount of the gain or loss on retirement on the bond can be determined by posting the cash proceeds,the bonds payable as well as the balance of premium on the retirement day,in other words,the gain or loss on bond is a balancing figure.
The cash proceeds would be credited to cash at $54,000,while the bonds payable account and bond premium are debited with $50,000 and $2,500 respectively,the result with a debit balancing figure of $1,500 which is the loss on bond retirement
