On January $1,2015,$ Swifty Corporation issued $$19890000$ of $10\%$ ten$-$year bonds at $102.$ The bonds are callable at the option of Swifty at $104.$ Swifty has recorded amortization of the bond premium on the straight$-$line method $($which was not materially different from the effective$-$interest method$).$

On December $31,2021,$ when the fair value of the bonds was $97,$ Swifty repurchased $$4420000$ of the bonds in the open market at $97.$ Swifty has recorded interest and amortization for $2021.$ Ignoring income taxes and assuming that the gain is material, Swifty should report this reacquisition as

Select answer from the options below

a loss of $$159120.$

a loss of $$207120.$

a gain of $$207120.$

a gain of $$159120.$