Before computing the gain or loss on the early extinguishment,the company must amortize any discount,premium,or bond issue costs up to the retirement date.

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This statement is true. Before computing the gain or loss on the early extinguishment, any discount, premium or bond issue costs must be amortized up to the retirement date. This is necessary to accurately calculate the net carrying amount of the debt being retired, which is used in the gain or loss calculation.

Before Computing the Gain or Loss on the Early Extinguishment,the