The December 31, 2011, statement of financial position of Bordeaux Corporation includes the following items:
9% bonds payable due December 31, 2018 €3,081,000
The bonds were issued on December 31, 2008, and have a face amount of €3,000,000 with interest payable semi-annually on July 1 and December 31 of each year.On January 1, 2012, Bordeaux retired €1,000,000 of these bonds at 98.What amount should Bordeaux report on the company's 2012 income statement as gain or loss on the retirement of the bonds?

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The Answer of The December 31, 2011, statement of financial position of Bordeaux Corporation includes the following items:
9% bonds payable due December 31, 2018 €3,081,000
The bonds were issued on December 31, 2008, and have a face amount of €3,000,000 with interest payable semi-annually on July 1 and December 31 of each year.On January 1, 2012, Bordeaux retired €1,000,000 of these bonds at 98.What amount should Bordeaux report on the company's 2012 income statement as gain or loss on the retirement of the bonds?

The December 31, 2011, Statement of Financial Position of Bordeaux