2) The December 31, 2017, balance sheet of Hess Corporation includes the following items:

9% bonds payable due December 31, 2026	$5,000,000
Unamortized premium on bonds payable	135,000

The bonds were issued on December 31, 2016, at 103, with interest payable on July 1 and December 31 of each year. Hess uses straight-line amortization. On March 1, 2018, Hess retired $2,000,000 of these bonds at 98 plus accrued interest. What should Hess record as a gain on retirement of these bonds? Ignore taxes.

$94,000.

$54,000.

$93,000.

$100,000.