The December 31, 2017, balance sheet of Sheridan Company includes the following items:

9% bonds payable due December 31, 2026 $5180000

Unamortized premium on bonds payable 135000

The bonds were issued on December 31, 2016, at 102, with interest payable on July 1 and December 31 of each year. Sheridan uses straight-line amortization. On March 1, 2018, Sheridan retired $2110000 of these bonds at 97 plus accrued interest. What should Sheridan record as a gain on retirement of these bonds? Ignore taxes. Entry field with incorrect answer

$79300.

$39300.

$78300.

$85300.