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Brooks Company received proceeds of $188,500 on 10-year, 8% bonds issued on January 1, 2016. The bonds had a face value of $200,000, pay interest semi-annually on June 30 and December 31, and have a call price of 101. Brooks uses the straight-line method of amortization. Brooks Company redeemed the bonds on January 1, 2018. What amount of gain or loss would Brooks report on its 2018 income statement relative to this transaction?
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Brooks Company received proceeds of $188,500 on 10-year, 8% bonds issued on January 1, 2016. The bon...
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