Nickel Inc. bought $500,000 of 3-year, 10% bonds as an investment on December 31, 2017 for $550,000. The investment receives interest annually and Nickel uses straight-line amortization. On May 1, 2018, the issuer retired $100,000 of the bonds at 113. As a result of the retirement, Nickel will report a: (Do not round intermediate calculations and round final answer to nearest whole dollar.)

Multiple Choice

• $109,667 loss.

• $4,111 gain.

• $20,000 gain.

• $30,000 loss.