On June 30,2006, ABC Inc. issued $3,000,000, 12 year, 10% callable bonds at 104. The bonds make semiannual periodic interest payments on June 30 and December 31. On January 1,2013 the call feature is invoked by acquiring 40% of the bonds at 102. Assuming ABC INC amortizes bond preminum using the straight line method waht is the gain (loss) on the call of these bond

a) $2000 gain

b) $5000 gain

c) $2000 loss

d) $5000 loss