Current Attempt in Progress

On January $2,2015,$ Carla Corporation issued $$2,000,000$ of $10\%$ bonds at $99$ due December $31,2024.$ Interest on the bonds is payable annually each December $31.$ The discount on the bonds is also being amortized on a straight$-$line basis over the $10$ years. $($Straight$-$line is not materiafly different in effect from the preferable "interest method."$)$

The bonds are callable at $102($i$.$e$,$ at $102\%$ of face amount$),$ and on January $2,2020,$ Carla called $$1,200,000$ face amount of the bonds and redeemed them.

Ignoring income taxes, compute the amount of loss, if any, to be recognized by Carla as a result of retiring the $$1,200,000$ of bonds in $2020.($Round answer to $0$ decimal places, eg$.38,548.)$

Loss on redemption

Prepare the journal entry to record the redemption. $($Round answers to $0$ declmal places, eg$.38,548.$ If no entry is requilred, select $"$No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically Indented when amount is entered. Do not Indent manually.$)$

Date Account Titles and Explanation

January $2,$

$2020$

Debit

Credit