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Several years ago, Cyclop Company issued bonds with a face value of $2,000,000 for $10,945,000. As...

Several years ago, Cyclop Company issued bonds with a face value of $2,000,000 for $10,945,000. As a result of declining interest rates, the company has decided to call the bonds at a call premium of 4 percent over par. The bonds have a current book value of $2,017,000.

Record the retirement of the bonds, using a premium account.

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fae value (o redard at u over p ar re demmahleValue $9000 O0O Value par ao00000 (t 004) 08c000 Tournal Enty 2000000 $63000 Bo

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