Doug purchased a bond on July 1, 2017, at par of $10,000 plus accrued interest of $300. On December 31, 2017, Doug collected the $600 interest for the year. On January 1, 2018, Doug sold the bond for $10,200. Doug

a. must recognize $300 interest income for 2017 and a $200 gain on the sale of the bond in 2018.

b. must recognize $600 interest income for 2017 and a $200 gain on the sale of the bond in 2018.

c. must recognize $600 interest income for 2017 and a $100 loss on the sale of the bond in 2018.

d. must recognize $300 interest income for 2017 and a $100 loss on the sale of the bond in 2018.

e. None of these statements is correct.