On January 1, 2021, Rowlet Corporation. Issued a 3 year, 8,000, P1,000 convertible bonds at 110. Interest is to be paid annually at the stated coupon rate of 12% every December 31. Each bond is convertible, at the holders option, into 30, P25 par value common share at any time up to maturity. On the date of issuance, prevailing market interest rate for similar debt without the conversion privilege was 9%. On the same date market price of one common share was P30. (PVF 4 Decimal)

Assuming that the convertible bonds above were retired at 98 on January 1, 2023 when the prevailing quoted value of bonds were at 96, how much is the gain or loss to be recognized in the income statement?