PT. Starfruit issued $250,000, 5%, 10-year bonds on January 1, 2023 for $280,000. Interest is paid on January 1 each year. On January 1, 2026 after payment of interest, some of the bonds with a face value of $100,000 are redeemed at a rate of 103.

What is the gain/loss on bond redemption recognized by PT. Starfruit when redeeming some of these bonds?

A. bond redemption loss of $3,000

B. bond redemption gain of $7,400

C. bond redemption gain of $5,400

D. bond redemption gain of $3,000

e. bond redemption loss $5,400