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Willis owns 60% of Yonex, On January 1, 2011 Yonex has bonds payable outstanding of $6,000,000 and a bond discount account with a debit balance

Willis owns 60% of Yonex, On January 1, 2011 Yonex has bonds payable outstanding of $6,000,000 and a bond discount account with a debit balance of $500,000.

On that date willis purchases all the outstanding bonds for a price of 5,600,000. How much is the gain or loss on the in substance defeasance (early "retirement") of the bonds?

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