At December 31, 2020 the following balances existed on the books of Kingsley Ltd.:

Bonds Payable $1,840,000

Interest Payable 50,000

If the bonds are retired on January 1, 2021, for $2,040,000, what will the company report as a loss on redemption?

Select one:

a.

$100,000

b.

$150,000

c.

$200,000

d.

$250,000