Compute the gain or loss and refunding transaction

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Reference no: EM131222708

Linda Day George Company had bonds outstanding with a maturity value of $452,900. On April 30, 2014, when these bonds had an unamortized discount of $14,100, they were called in at 105. To pay for these bonds, George had issued other bonds a month earlier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued at 103 (face value $452,900). Issue costs related to the new bonds were $3,410.

Ignoring interest, compute the gain or loss. (Round answer to 0 decimal places).

Ignoring interest, record this refunding transaction. (Round answers to 0 decimal places)

Reference no: EM131222708

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