On January 1, 2017 Barry Inc. issued $100,000, 5-year bonds at 4% with annual interest payments. The market rate of interest at the time was also 4%. On January 1, 2020, after the payment of the annual interest for 2019, Barry redeemed the bonds at 103. The journal entry to record the redemption would include a

• A :

  credit to Loss on Redemption for $3,000.

• B :

  debit to Bonds Payable for $103,000.

• C :

  debit to Loss on Redemption for $3,000.

• D :

  credit to Cash for $100,000.