Moon Inc.,has decided to call one-half of its bonds payable.In accordance with the bond contract,Moon Inc.may call and retire the bonds at 103.Immediately before the retirement,the balance sheet for Moon Inc.reports: $\begin{array}{ll}
9 \% \text { bonds payable } & \$ 400,000 \
\text { Discount on bonds payable } & 2,500
\end{array}$ What is the amount of the gain or loss on retirement?

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The Answer of Moon Inc.,has decided to call one-half of its bonds payable.In accordance with the bond contract,Moon Inc.may call and retire the bonds at 103.Immediately before the retirement,the balance sheet for Moon Inc.reports: $\begin{array}{ll}
9 \% \text { bonds payable } & \$ 400,000 \
\text { Discount on bonds payable } & 2,500
\end{array}$ What is the amount of the gain or loss on retirement?

Moon Inc,Has Decided to Call One-Half of Its Bonds Payable 9% bonds payable $400,000 Discount on bonds payable 2,500\begin{array}{ll}9 \% \text { bonds payable } & \$ 400,000 \\\text { Discount on bonds payable } & 2,500\end{array}9% bonds payable Discount on bonds payable ​$400,0002,500​

Moon Inc,Has Decided to Call One-Half of Its Bonds Payable $\begin{array}{ll}9 \% \text { bonds payable } & \$ 400,000 \\\text { Discount on bonds payable } & 2,500\end{array}$