Hooper Corporation Has Bonds Outstanding with a Face Value of $100,000

Multiple Choice

Hooper Corporation has bonds outstanding with a face value of $100,000 and a carrying value of $103,000 on December 31,2013.If the company calls in and retires these bonds on December 31,2013,for $105,000,the entry to record the retirement would be:

A) Bonds Payable 103,000
Cash 103,000
B) Bonds Payable 105,000
Cash 105,000
C) Bonds Payable 100,000
Loss on Retirement of Bonds 3,000
Cash 103,000
D) Bonds Payable 100,000
Loss on Retirement of Bonds 2,000
Unamortized Bond Premium 3,000
Cash 105,000