(Entries for Retirement and Issuance of Bonds) Linda Day George Company had bonds outstanding with a maturity value of $300,000. On April 30, 2008, when these bonds had an unamortized discount of $10,000, they were called in at 104. 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 $300,000). Issue costs related to the new bonds were $3,000.

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