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    Explain why there is a difference between the carrying value and the current market value of the long-term debt. Assume the company has decided to retire all of its long-term debt for cash, prepare the journal entry to record this transaction.

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    Explain why there is a difference between the carrying value and the current market value of the long-term debt. Assume the company has decided to retire all of its long-term debt for cash, prepare the journal entry to record this transaction.

    See the attached file.

    © BrainMass Inc. brainmass.com June 3, 2020, 7:03 pm ad1c9bdddf
    https://brainmass.com/business/bond-valuation/difference-carrying-value-current-market-value-85007

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    Please see the attached file.

    I have tried to explain the difference between carrying value and market ...

    Solution Summary

    A review of bond carrying values with examples given.

    $2.19

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