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THA Buys Back the Bonds for $196,000 Immediately After the Interest

Question 97

Multiple Choice

THA buys back the bonds for $196,000 immediately after the interest payment on 12/31/2015 and retires them.What gain or loss,if any,would THA record on this date?


A) No gain or loss.
B) $370 gain.
C) $4,000 gain.
D) $1,242 loss.

Correct Answer:

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