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Crane Company retires its $300000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at the redemption date is $288750. The entry to record the redemption will include a debit of $17250 to Gain on Bond Redemption. credit of $11250 to Loss on Bond Redemption. debit of $6000 to Premium on Bonds Payable. credit of $11250 to Discount on Bonds Payable.

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