2) Malt Corporation issued a $100,000, 10-year, 10 percent bond on January 1, 2010, Mor $112,000. Malt uses the straight-line method of amortization. On April 1, 2013, Smith reacquired the bonds for retirement when they were selling at 103 on the open market. Assuming no call premiums, how much gain or loss should Smith recognize on the retirement of the bonds? (4 p.)