To calculate the gain or loss on the retirement of bonds, the face amount of the bonds is subtracted from the repurchase price.

Name: To calculate the gain or loss on the retirement of bonds, the face amount of the bonds is subtracted from the repurchase price.
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To calculate the gain or loss on the retirement of bonds, the repurchase price is subtracted from the carrying amount (book value) of the bonds, not the face amount.

To Calculate the Gain or Loss on the Retirement of Bonds