Kobiachi Company had bonds outstanding with a maturity value of ¥5,000,000. On April 30, 2016, when these bonds had an unamortized discount of

¥100,000, they were called in at 104. To pay for these bonds, Kobiachi 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 ¥5,000,000).

Instructions Ignoring interest, compute the gain or loss and record this refunding transaction.