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On 15 October 2016,Rural Sales Has a Debenture with Balances

Question 2

Multiple Choice

On 15 October 2016,Rural Sales has a debenture with balances as shown below. On 15 October 2016,Rural Sales has a debenture with balances as shown below. If Rural Sales wishes to redeem the debentures for $82 000,what will be the effect on the income statement? A) Loss on redemption of $2 600 B) Loss on redemption of $2 000 C) Gain on redemption of $2 600 D) Gain on redemption of $2 000 If Rural Sales wishes to redeem the debentures for $82 000,what will be the effect on the income statement?


A) Loss on redemption of $2 600
B) Loss on redemption of $2 000
C) Gain on redemption of $2 600
D) Gain on redemption of $2 000

Correct Answer:

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